Inquiry About Hard Money Lenders for Auction Properties

[Dominic Richardson]

I’m looking for recommendations on hard money lenders that are willing to finance properties purchased at auction.

I've encountered some challenges, as certain lenders require interior photos, but many auctions do not permit entry. Any suggestions on how to navigate this process and successfully close on these types of properties would be greatly appreciated.

Additionally, would a bridge loan be a viable option to help me close the transaction and then transition to a fix-and-flip loan when I have access to the interior?

Thank you for your assistance!

[Erik Estrada]

Hi Dominic, 

You may want to look into a local hard money lender that does not require interior access to the property. However, if you are planning to have the rehab funds financed, you will most certainly need to provide the lender with a detailed scope of work. 

You could do a rehab loan after closing on the property, however these are much more challenging to finance than a traditional fix and flip loan since the leverage is reduced on a refinance compared to a purchase loan. 

I would suggest looking into buying these with a HELOC or raising capital.