To all the Flippers out there ... Where is the Cash?

[Rickey Wiley]

I am looking to begin a Flip on a foreclosure property in the Dallas area. My question starting out is where is everybody getting the funds to close the deal? Specifically for a flip is it mainly just Hard money Lenders or is there another way to get a loan that I'm not aware of?

[Andrew Postell]

@Rickey Wiley lots of options for flipping is available here in DFW.  Hard Money is used to close quickly and in theory, they could have lower out of pocket to you if the numbers worked right.  There are also other banks that have loans that are in between hardmoney and conventional renovation loans.  Those loans generally use 20% down of your acquisition and repair costs for single family homes.  The Conventional loan renovation loan can use 15% down but it needs 30 days to close at a minimum so most flippers use other loan types.  Tag me here in the forum if you have other questions on it.  Thanks!