All Forum Posts by: Vincent Pace

You can, however, use a private lender to finance foreclosed properties.

I love the location of your property, but it does look like it needs a lot of rehab and the nearby homes on the higher end sell for around 150-175k so you could potentially make significant profit. I suggest you reach out to lenders and see if they can accommodate your project. Best of luck!

@Spenser Murphy Regarding hard money lenders, it really varies from one lender to another. Most HMLs don't finance 100% of the deal. Typically, they ask for 10-20% down. Interest rates vary a lot and so do points. Higher interests and no points is also an option depending on the lender. But I would make sure to familiarize yourself with each HML's lending guidelines before anything else.

Yes it is possible for a beginner, even at the age of 22, to start out in real estate investing. However, you may need a partner if you are low on cash/assets. I would attend a local meetup of real estate investors near you and ask about their experience in your local market as those people are very familiar with your area and could give you invaluable advice. I think you will find the real estate investing community is very willing to help one another! Best of luck to you!

Typically, commercial loans are different in hoe they are taxed. Many lenders look at commercial properties under a more intense microscope because finding lessees than selling a house for example. I would suggest calling lenders and seeing what their commercial loan terms are. Hope that helps!

@Paul I. I would suggest calling hard money lenders. I'm sure they would be more than willing to send you their lending guidelines and see what they could do to help you out either with a refi or flip.

Congratulations the first deal is usually the most arduous since you are getting used to everything still. Once again, congratulations and I wish you and your wife much more future success!!!

@Simon Lopez welcome to bigger pockets! To answer your question, it depends. Every institution or company has different lending terms and it also depends on the size of the loan you are trying to get. For example, where I work we typically do 1:3 ratio where your assets+cash less the debt times three is what we are willing to loan you, but like I said before every institution is different so I would suggest calling them just to get your foot in the door and better understand how the lending process works. Best of luck!

Hard money lenders vary a lot. Different minimum ARVs, some have credit score requirements while others don't, points or no points. If you are interested in hard money lenders, I would definitely ask for their lending guidelines prior to taking action since every place is different.

Instead of using a "Zestimate" for a rough idea on what a house is potentially worth, I suggest looking at nearby houses sold that are similar to your subject property as that is better physical evidence of what the market is willing to pay for homes like yours--just make sure they are not too far apart (I would suggest to try and stay as close as 0.5 walking miles in urban areas and suburban and rural areas depend more on the town you are trying to rehab in. Good luck!

@Derek Henkes I'm a huge fan of Rich Dad Poor Dad. It's a simple book but extremely helpful and lays out the basics everyone investing should know!