Updated about 5 years ago on . Most recent reply
Purchasing Off Market Deals With Traditional Financing
I live in Atlanta, Ga and am in search of my 2nd investment property. I currently have two agents sending me properties but would like to begin searching for off market deals to increase the amount of potential leads. My main question is how to go about purchasing an off market deal with traditional financing. Is hard money or cash the only way to finance these deals? I don't love the idea of hard money loans and don't have enough cash to buy a house outright. Any thoughts?
I'm eager to give FB ads a try but all ads I see are marketed by cash buyers.
Most Popular Reply
Hello Jacob,
I assume the off market properties are foreclosed? If the property is a foreclosure being sold "as is" conventional financing is not an option unless its going to be a primary home. In this case there is a rehab loan option with long term financing available. Are you a buy/hold or fix n flip investor? If buy/hold you can easily be in and out of a HML within 90 days. The key to HML is high leverage and short term financing. Even if you are a fix n flip investor and HML scares you, the best advice I can give you is to invest in a fix n flip property that cash flows strong enough to be turned into a rental property. You finance guy can easily let you know this before you acquire the property.