Updated over 2 years ago on . Most recent reply
Financing - How do you get financing for Renovations?
I am just a couple weeks into my REI journey and I am learning a lot! I am a bit confused on when it comes to the financing on BRRRR or fix and flips. How does one get the financing for the renovation costs? Is that factored into the initial loan when purchasing the house or is a separate construction loan or additional financing methods needed to cover the rehab costs? Thanks!
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Caleb Brown
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Caleb Brown
#2 Buying & Selling Real Estate Contributor
Agent
#2 Buying & Selling Real Estate Contributor
- Real Estate Agent
- Kansas City
Rehab is either covered with cash or the loan product. Could be a construction loan or hard money. If you use a hard money loan or construction loan then you would refi into a longer term product
- Caleb Brown