Funding Down Payments to Scale?

[Rachel Zelaya]

Hi BP Friends! If you are doing 10+ deals a year, how are you financing your down payments?

Are there other creative ways to raise the money for the equity? We have 7 years experience and proven track record, construction capacity to flip a few dozen or more a year, and we have funds to handle about 10 projects at a time, but we don't want to lose out on good deals because we are "strapped" for cash for the down payment portions. 

Hope to hear what everyone is doing.

We have commercial banks, HM Lenders, friends and family, and our own cash all being put to work...

[Jay Hinrichs]

well most do the BRRR they pay cash rehab then refi and repeat.

what I have done is I have a unsecured Line of credit at my bank.. I can draw on it to pay cash.

then I have a facility at my bank that I can roll into medium term or long term.

I use the unsecured LOC to buy at cash and carry auctions. sherrif sales and trustee sales..

Its mid 6 figures in size.. so it allow us some flexibility.. now I did not start that high.. I started 25 years ago with 100k.. and worked my way up.