How to raise capital when you can not borrow money!!

[Milad Sadeghian]

I am wondering for those who are going to buy a property for the first time to flip it, how they can get some money (hard money, or any other loans, etc) to buy and rehab the property, if the amount shown on their tax return is low and may not qualify them.

Thank you,

[Darren Eady]

Conventional (bank) lenders will look at your income to qualify you. If you keep your earnings really low, this won't be an option. Conventional lenders need a property to be in good condition and live able, which will also not work for a flip. 

Hard money lenders rarely require income to qualify. Some HMLs will lend on properties that need rehab and some will only lend on rent ready, cash flowing properties. 

You'll need to find a HML that will lend based on the after repair value, without looking at your income. I would suggest Lima One, Peak Asset, Visio Lending for a good price and I think they all do what you need.