Advice needed for new rehabber/Investor (NJ)
Hello everyone,
I'm relatively new to this site and wanted to get an opinion on my plan to break into the real estate market. Ideally, I want to begin flipping in the Central New Jersey area. My initial plan is to purchase a fixer-upper with an FHA rehab loan for a few reasons. 1) I'm prequalified and only need to put 3.5% down to fund the project which leaves me with more residual funds for other opportunities 2) my wife and I are sick of wasting money rent 3) to be able to manage and learn the rehab process in my own home on a daily basis.
I would hold on to the FHA property for 1.5 to 2 years then either refinance and keep the house for myself or sell and hopefully make some cash to put into another home.
I currently own a rental townhome in VA and plan on purchasing the FHA fixer-upper in the near future.
With that being said,
1) Will I still be able to get hard money loans if I have two mortgages already?
2) Specific to Central New Jersey, which areas are good places to start looking for rehab deals?
3) Should you meet with hard money lenders before you have a deal to get pre-qualified? or should you find a great deal first before lining up your lender?
4) Are wholesalers a good place to start finding off market deals early on in your career?
I have the contractors and subs lined up when the right deal presents itself, but I want to make sure the compass is pointed in the right direction before taking the plunge.
Any advice would be greatly appreciated.
Thanks,
John