New to Real Estate · Miami, FL 33160 · Member since 2018 · 8 posts · 2 votes
Hello all,
I’m a first time buyer and I have found an awesome REO property. Only issue is it goes to auction in less than 48 hours and it’s a cash only auction. The auction last for 5 days however, I don’t have the required cash to come up with in that time. Any recommendations?
Thanks!
Rental Property Investor · Indianapolis, IN · Member since 2018 · 4k+ posts · 4k+ votes
7y
Considering most banks won't lend on REO properties (if it needs extensive work) I would look for a hard money lender. The rates and upfront points will be high but if you win the auction at a great price you could be okay.
Some auctions require a deposit of __ cash before you can even bid.
Real Estate Consultant · Milwaukee - WI · Member since 2018 · 142 posts · 73 votes
7y
Not having the cash on hand can be stressful but working with a Hard Money lender could be an option. One major thing to remember is that with some REO properties you may find yourself having to put in additional work to the property to get it up to your standards. I suggest lining up your money first and finding a place that really fits your needs instead of jumping into something without having all the details or funding lined up.