Updated almost 6 years ago on . Most recent reply
Using a FHA 203k Loan on a Rental Short Sale
Hello everyone, I am a college student just starting out and think I found the perfect strategy to get out of my current living situation and buy my first investment property. I've been reading up on FHA 203k loans and from my understanding with this loan you have to live in the home for at least 1 year, provide a down payment of 3.5%, and the cost of any needed repairs is funded by the bank. I've found a rental property short sale lead where I could live in and rent the extra room out in one unit and rent out the other unit all together. After running the numbers it appears to yield an amazing ROI. My only road block so far is deciding whether or not if it is better to find a partner or use a hard money lender to fund the down payment and closing cost. So my question is for this type of deal which is better and how should I pitch it? Any advice/feedback would be greatly appreciated thanks!