Beginner challenges raising capital

[J Horton]

How does a new investor get over the initial hump of raising the capital necessary to purchase a property? 

For instance, I've spotted a great opportunity to purchase a property through a foreclosure auction possibly 30% below market value. However, I don't fully understand my ability (or lack thereof) to raise the capital. My credit score is at best middling and the 3.5% down payment hard money lenders will ask for is a nonstarter for now. Is seller finance the only entry point? Any ideas would be very helpful. Thanks.

[Kenneth Garrett]

@J Horton

I would attend local REIA meetings to network and or partner. When you are starting out you are just learning. If you had the money would you lend to you. That is the question. When I started, I attended my local REIA meetings and networked with people. I already had construction experience, but I lacked investor experience. I partnered on my first deal and after that I was good to go.