Looking for Finanace Options for a single family

6 Replies

Hello All

I am currently looking to purchase a single family home in NJ to buy and hold as a rental. The property is selling for $185,000. My wife and I have two very good incomes and great credit scores. I would like to use the BRRR strategy and put 0 money down.

What are my finance options? I do not have a private lender so is my best option is a hard money lender? 

Thank you in advance for you help

Loans backed by VA and USDA are the only 100% financing options. Otherwise, you will need to put skin in the game. 3% for FHA. If the property is worth buying, you should be willing to invest some money, especially if you plan to hold it. The end game should be to actually own it at some point and enjoy the cash flow. Putting nothing down is a myth because there has to be an exchange at some point. Pay it now or pay it later. Borrowing less increases your cash flow.

This is a MF forum.  You might get better answers in another forum.

What forum would you suggest? Sorry I am new here

@Paul Papamarkos There is a creative financing forum here:

https://www.biggerpockets.com/forums/50-creative-r...

But generally you are not going to find any options where you just put no or little money down and are given a house to try the brrrr strategy on. As previously mentioned the only entities crazy enough to do that will be government entities like FHA, VA or USDA. A real investor like a hard money or private lender may do that all daylong if they think you know what you're doing but you have to prove that to them.

Good luck to you.

Originally posted by @Anthony Dooley :

Loans backed by VA and USDA are the only 100% financing options. Otherwise, you will need to put skin in the game. 3% for FHA. If the property is worth buying, you should be willing to invest some money, especially if you plan to hold it. The end game should be to actually own it at some point and enjoy the cash flow. Putting nothing down is a myth because there has to be an exchange at some point. Pay it now or pay it later. Borrowing less increases your cash flow.

I thought in order to qualify for FHA, the property has to be owner occupied?

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