Best 0% credit card for a renovation

3 Replies

I just purchased a duplex that will need around 20k in your work. It is mostly materials and I won't need to use a GC as the electric and plumbing are all basically new. There was moisture issue so I will need to replace quite a bit of drywall and flooring.

I was able to purchase the property in cash and my plan is to finance the renovation on a 0% interest rate cc then back into financing using the BRRR method.

I have been researching a few different cards but I wanted to get recommendations based on some people's experience.

Are there any credit cards out there that are offering the best terms at the moment or is the move to go with a store specific card?

Be sure you can get all of or most of your money back on the financing of the property. Since you purchased in cash, the lender will probably do a delayed financing exception on the property and only finance the portion of the property you paid for when you purchased, and not value the property for its ARV. There would be no refinance in this situation since there was no original financing to begin with.

As for the credit cards, to get a single card with a 20k or more limit would be based on your credit history, but American Express has been known to be generous with initial limits and credit limit increases after 60 days of opening the account and then 6 months again after that.

I’ve done this a few times.  Discover had a 15 month, 0% interest period.  I have also used an Amex with an 18 month, 0% interest. Make sure you can get your money out and pay of credit cards before intro periods end.   discover had nice cash back rewards.  Amex rewards decent. 

@Sebastian E.

I once used a balance transfer credit card (Chase Slate 0% for 15 months with 0% balance transfer fee if balance is transferred within 60 days of account opening) to float some money in order to purchase a car.  Although it was only a couple grand, it dropped my credit score a decent amount.  Luckily, I wasn't in the need to use my credit because I went from high 700s to low 700s once the card was fully reported.  Being that you'll want to refinance, just make sure that this won't impact your credit and therefore not allow you to refinance.  Everyone's situation is different but hopefully, you find this helpful.