Shy on capital to close and fund.

Shy on capital to close and fund.

Justin DaltonPro Member
Member since 2024 · 29 posts · 25 votes

Hello everyone 

I have a question just wondering if I'm not the only one. So I find good rehab fix and flip homes. Good price but I always am short on funding for initial down payment and closing costs.

As I'm just starting with investing it's really frustrating finding good potential properties but not having funding. I have  lenders willing to work with me. But I run short on capital to even start so have to pass them up.

and money continues to go down do to start up payments for my  business (real estate investing).

So what should I do as I feel like I'm behind the eight ball and else I can raise more capital I'm just spinning my wheels.

thanks for any help

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  • Nicholas L.Pro Member
    Flipper/Rehabber · Pittsburgh · Member since 2018 · 6k+ posts · 5k+ votes
    1y

    @Justin Dalton

    can you do a live in flip

    • Jay HinrichsBusiness Member
      Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
      1y
      Quote from @Nicholas L.:

      @Justin Dalton

      can you do a live in flip


      U need a capital partner .. give them the majority of the return. fill your experience bucket up once that is at a level where you can show other investors what you u have done then strike out on your own.. this is what I did personally.. it takes decades at least for me.. then once I had some experience etc.. If I was trying something kind of new I would do it myself prove it out then go to investors if I wanted to grow with outside capital. 

      Where I see far to many who are starting the journey fall into the trap of thinking that just finding a deal makes them the star of the show and they do not respect the money enough to actually get any investors or money.. I mean look at billion dollar syndicators.. Investors always get 70 to 80% of the return.. Yet you have beginners who think just bringing in the deal they should get the majority or worse just 50/50.. and as such there is a failure to launch and they never do anything. The money rules these deals .. I can find deals anywhere in the US deals are like street cars there is always another one on the next corner.. Money not so much !!! Thats my personal view on how to get started.
  • Justin DaltonPro Member
    OP
    Member since 2024 · 29 posts · 25 votes
    1y

    Unfortunately I can not at the moment. THat is definitely  one thought for the future though.

    • Chris SeveneyBusiness Member
      Moderator
      Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
      1y

      @Justin Dalton what about brokering them or bringing on a financial partner

      can you give an example of a deal, purchase price, rehab, ARV and how short you are ?

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