Decent Net worth/ credit question?

3 Replies

I’ve had several successful business deals but recently was set back and was forced to file bk. Will be discharged end of this month. Looking to get heavy into multi-family real estate. I’ve had experience with a couple flips and I also own 4 rental properties. What is my best route to get funding with my recent credit fail. Previous to BK I had excellent 800 credit and plan to get back to it. Any advice is much appreciated! Can I leverage one of my rentals as a down payment? And where do I get financed? Thank you

Hello Allen! I think your best bet would be owner financing. They go with your personality and the rapport you present not your credit score. Keep all of your properties in a LLC on each property. That should keep your other properties and your personal assets out of reach. It is normally easier to file a business bankruptcy instead of a personal one. You might need to hire an experienced Attorney and a Tax Consultant. They should be experienced in your field.

do the minimum of paperwork and your businesses and personal accounts completely separate so a judge cannot call it a personal business and hold you personally liable.  You can borrow from one of your existing properties for a down payment or get the Owner to finance you 100% depending on their needs and what you want.  Like doing a "subject to" or a Lease Option.  An agreed price can be paid at the next closing that has a maximum time limit.  Just be creative.

Good luck to you!

Originally posted by @Allen Prather :

I’ve had several successful business deals but recently was set back and was forced to file bk. Will be discharged end of this month. Looking to get heavy into multi-family real estate. I’ve had experience with a couple flips and I also own 4 rental properties. What is my best route to get funding with my recent credit fail. Previous to BK I had excellent 800 credit and plan to get back to it. Any advice is much appreciated! Can I leverage one of my rentals as a down payment? And where do I get financed? Thank you

Standard lender wants bk discharged and wait two years.  Hard money just wants 30% a lot of the time.  Meanwhile see if you can find a "subject to." 

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