Upon doing research, I finally found an area like to invest in. I'm thinking of going with a 203K loan for this investment however I will not be able to get the loan on my own. My idea is to find a partner to cosign the 203K loan with me then after using the renovation money to fix the house my partner and I will then refinance to a conventional loan under the newly appraised value.leaving us with money to reinvest in another property
Aaron, a 203k can be a great way to get started since you get the benefit of adding value while not having to live in a construction zone. Having someone cosign is a creative solution if you can't qualify on your own, just use caution and choose your cosigner carefully. If you haven't started the loan application process, do that as soon as possible so you know if there are any surprises waiting for you. Best of luck and keep us posted.
Also note that FHA 203K loans are for owner occupied homes only so one of you would have to live in the property.
I hope this helps and have a good one.
Shaun Weekes, Innovation Lending Solutions | [email protected] | 949‑610‑3126 | https://www.facebook.com/Innovation-Lending-Solutions-Inc-261955880814516/ | CA Agent # 0L51686
Yes, I underst this would be owner occupant. My area of interest is multi-family, preferably 4-plex, so I would live in one unit for the the first year while renting out the other three units.
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