100% equity in owner occupied needing funding

3 Replies

last year i inherited a home, 4 on 1 1500sq apx 400k value, never mortgaged, no liens, and taxes $500 yr. But needs a good amount of work. My idea is to hack house into 4 private ensuites with kitchenettes(tiny homes style), minimal communal space. The rents in town are really high and a $900-$1200 seem realistic $1800 possible with abnb . I own the property outright. Have minimal credit(always paid cash) no car payment history. Self employed and don't earn much(spend less) I've talked to banks, credit union, and one lending co. Any ideas from hard lenders or private lenders on this.

Goal $150k 30yr mortgage.  $60k on remodel, $90k to invest in acquiring another property. The rents from from units would go 95% to pay loan 5% maintenance no early payback penalties.  Thank you for any input

5 percent maintenance seems low. Granted, you'll be maintaining a freshly remodeled property, but you still need capex reserves on top of day-to-day maintenance.

Originally posted by @Christopher Freeman:

5 percent maintenance seems low. Granted, you'll be maintaining a freshly remodeled property, but you still need capex reserves on top of day-to-day maintenance.

 Yes, that is pretty low. 10% would be more realistic. Even with remodeling. Thanks 

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@Nero Leblanc Since you own the Property free and clear,i can help you Unlock the equity in your real estate in other for you to use the funds for the rehab or any other thing you need for.You're real estate is the only collateral.

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