Rehab Financing Strategy Suggestions

[Justin Cyr]

Hello All,

I'm working on building a team and creating a repeatable system to BRRR single family homes. In rough numbers, currently I plan to purchase properties with about 50k, rehab with 20k and refinance at 100k. I have access to enough cash to purchase and am looking for suggestions/recommendations on how to finance the rehab? The investment is out of state and hard money is sparse in this area.

Being a newbie I’m not sure what kind of financing options are out there.

Thoughts?

Thanks,

Justin

[Tim Johnson]

Couple ways to do this hard money, HELOC on primary, credit cards. I always look at the bigger picture, the refi.

I would up the class of home your looking to purchase.  You have more options for loans in the 135k loan range, better terms and rates and you won't have that much more skin in the game.  Most lenders have a 75k loan min, and on your deals you are just barely hitting that.