Help! Searching for funding options up to 50K
REI based in Atlanta and I just purchased a bank-owned vacant Single-family property 3BR/2BA. Closed in Jan with a DSCR loan and now in need of funds for maintenance, light however necessary repairs, HVAC replacement, painting, furnishings, operational expenses etc. The plan is to use STR or MTR model until mortgage is paid in full. Hopefully this is the right group for this question.
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Hi @Taqiyyah Ellis congrats on getting your deal to the closing table. If you can help with the terms of the mortgage I could better assess how I would work on this deal.
Have you considered lease option in it's current state? I've used this strategy in a similiar situation wherein the repairs needed to the property were made part of the agreement and the tenant buyer took possession with repairs needed and fixed the property to livable condition.
Also in the scenario I received $5.5K down payment on a 3 year term $1200 per month and P/I cost me $550 and I paid taxes and insurance. My expenses on that deal was $745 per month and tenant buyer paid for all of the utilies, upkeep of the property etc... I pocked around $430 per month with limited responsibility.
I was able to sell that property in 24 months to that tenant buyer and made a decent return.
This doesn't make sense for every property buy lease options are a way to take a property that is sitting, to a property that is producing income while limiting your expenses
All the best!