Updated 10 months ago on . Most recent reply
Ground Up Construction for Duplex
Hello all,
I am still trying to get my foot in the door in REI and I have been looking at fix and flips it in my area those are slim and the numbers are tight only because I have limited funds and was looking at doing JV's.
My main question is I have seen a number of multi-family units but they are pretty run down and for the price it's almost the same or better to build new. With that being said has anyone ever used Owner Financing to purchase land?
Does this type of purchase allow construction? Or does the land need to be completely paid off before you can begin construction.
Most Popular Reply
There are options for no-experience ground up construction loan products. Usually just have lower leverage caps and some higher costs compared to having completed project experience. Some products require the land to be free + clear, others don't and will just cover less of the construction budget. Definitely depends on each scenario!