Lines of Credit (for fix and flips)

4 Replies

I'm looking for a line of credit to quickly purchase properties to fix and flip.  I'm not interested in hard money loans/lenders--I have access to plenty of those.  I'm looking for lines of credit for acquisition.  Wells Fargo has such a program for commercial properties.  Is anybody aware of lines of credit programs for residential fix and flip opportunities?  

NOTE:  I am not interested in hard money loans/lenders.  Thank you!

Best option may be to organize yourself as a business and look at business lines of credit.

@Aaron Klatt Isn't it tough to get a line of credit on a new business? Won't a lender be using your personal info anyway? Interested in your answer as I haven't done this but when I owned my detailing business, that's what I was told when looking into it years ago.

@Grant Rothenburger yes but if this poster has a track record of flipping in the past they may be able to get it a bit easier than someone who is just starting out. Other than hard money (which they don't want) or a HELOC which may or may not be enough, I don't see many other ways to get a line of credit like they're talking about.

Thanks guys!

I have excellent credit personally and with my business, and my business (real estate brokerage owner) has great income.  However I need to separate my fix and flip business from my real estate brokerage.

I don't want to deal with the hassle of getting a loan for more, or less, than I actually need, paying a ridiculous rate on that money, and having to take a 3-6 month term on it. 

I need flexibility.  For example, sometimes I need 85K, then I find out I actually need 93K when I start repairs.  I need access to the extra 8K without moving mountains.  Sometimes I think I need 175K and it turns out I need only 160K.  So I'm paying interest on money I'm not using and have to keep it for 3-6 months or pay the penalty!  

I need a real estate line of credit product for those of us who know what we're doing and need to move quickly, with reasonable flexibility!  I need a product that let's me take only the funds I need, when I need it, at a fair interest rate for only as long as I need the funds!

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