Real Estate Agent · Lewisville, TX · Member since 2018 · 2 posts · 1 vote
Thinking about flipping single family homes in the dallas/Fort worth area. Am I better off with conventional financing or getting a hard money loan? I am a rookie and not much cash flow.
Rental Property Investor · St. Petersburg, FL · Member since 2017 · 3k+ posts · 4k+ votes
8y
Conventional lenders wont lend on distressed properties and hard money lenders will require you to have 20% - 30% of the loan amount in cash. Your best, low cash option might be the FHA route. Either purchase a turnkey small multifamily and live in one unit? That will allow the smallest amount of cash out of your pocket.
New to Real Estate · Teaneck, NJ · Member since 2018 · 167 posts · 60 votes
8y
Welcome @Nadeen Roberts for Hard Money lenders you need to pay for Appraisal, some of them require 25% down and they only loan 75% of purchase price. So I think work out your numbers and see what the best option is for you.
Rental Property Investor · St. Petersburg, FL · Member since 2017 · 3k+ posts · 4k+ votes
8y
Conventional lenders wont lend on distressed properties and hard money lenders will require you to have 20% - 30% of the loan amount in cash. Your best, low cash option might be the FHA route. Either purchase a turnkey small multifamily and live in one unit? That will allow the smallest amount of cash out of your pocket.
Rental Property Investor · Washington, DC · Member since 2015 · 88 posts · 45 votes
8y
You're going to definitely need a hard money loan. Some lenders may look down on you if you don't have experience. I would recommend working with an experienced "flipper" for your first one if you can.