Money money money!

[Shayne Brescia]

So business has been going well.  Thanks to BiggerPockets, I have the best partner/mentor/construction manager that I could have ever hoped for.  We have successfully worked together to push through on multiple projects.  Currently we have one house on the right track towards completion, one home working it's way through probate court, and other homes under contract/with accepted offers.  We have a private lender that my partner already has an established relationship with who has no problem buying the properties for standard hard money terms.  Now we are at the point where all our own cash is dried up.  I am almost $100k out of pocket on down payments and rehab money on all fronts.  

For all of you experienced rehabbers that have multiple fronts... what should be my next steps towards getting the money needed to rehab these houses?  Should I just dump any future projects and wholesale to bring the capital back?  Go to the banks and start that dialogue so maybe they can work with me in the future?  

This isn't a question that has a definitive answer.  I am just looking for some avenues to explore for the future!

Thanks!

[Robert Williams]

Hi Shayne,

My limited experience working with hard money lenders and investor-friendly banks here in the DC area is that they all want you to have some of your own money in the acquisition of a property.  If all of your capital is currently tied up, I would suggest wholesaling anything you get in the meantime to build up your cash.  

Another longer term option is to establish a line of credit with an investor-friendly bank like Eagle Bank here in DC.  They work with a lot of investor and definitely offer more attractive terms than the typical hard money lender.  

-Rob