Funding an unisurable home

3 Replies

I am looking at a live in investment property that has hail damage on the roof. It is liveable however I don't believe that my lender appraisal will grant the roof insurable, in turn voiding my contract with the buyer due to lack of funding. My intention is to get an "investors loan" of some sort for the period it takes to fix only the items that deem it as uninsurable, at that point I would like to reinvest with a VA loan. The issue is that I don't know any opportune funding types or strategies for a situation like this. Does anyone have any insight or experience on ways to get this funded?

Sounds like either a hard money option or a rehab loan to close VA later, if you can find a lender to do this for you. I do not deal in VA loans, so I cannot help there. You just need a short term funding source to get the roof on and close the deal? If you could find private money, you do that as well, just to get the roof on, then appraised and on to the next loan deal.

Thanks for the information. Would an FHA 203(K) loan be a suitable option for this, this would probably more along the lines as a permanent loan.

If this is a non-owner occupied investment property, a hard/private money loan could work for you.   They are short term (9-12 months, typically), include funds for rehab, then you can refinance into your conventional loan at any time during the life of the loan (often without a prepay penalty, although you would have to pay interest only payments for at least 3 months).  RLT Private Capital

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