I'm brand new to real estate investing in a pretty tough market-Denver. Im currently renting but interesting in house hacking most likely through short term rentals/using an ADU. I don't have tons of money saved up to be able to buy a house in a part of Denver that I want to live in. Is it possible for me to:
1. Find a deal
2. Use soft or hard $$ if the numbers all work out for the purchase & possibly rehab (or force some equity into the property)
3. Refinance as an owner occupant
My other options are to buy a small condo (probably only a one bed) or just wait until I have more capital acquired to get a conventional bank loan...
I am so so ready to jump in & will consider any creative financing ideas...I know once I have a property it will be an income generator for me!
Thanks for the input/advice!
@Heather Rudy Well your capital requirements on a normal owner occupant loan are likely going to be much lower than hard money. I don't think there are too many hard money lenders out there lending more than 95-97% LTV which is where your conventional/FHA loans are going to max out depending on your scenario. Hard money lenders also don't really like to lend to owner-occupants due to compliance issues, so I guess it depends on exactly how you set up the process.
I tend toward the Dave Ramsey approach. In the long run it will be more beneficial to you if you save up more capital. Be careful not to put yourself in a difficult financial situation that could damage your finances long term.