There continues to be big changes in the investor financing industry - especially for fix and flippers. In some markets, 100% financing is starting to make a comeback.
Most investors have two primary investment strategies: fix & flip and buy & hold. Generally, the purchasing goals for fix & flip investors are single family residences (SFRs) and small multi-families (up to 4 units). For some of our experienced investors who purchase multi-families (5+ units) and other commercial property types, generally, their goal is to buy and hold for positive cash flow.
"Ninety percent of all millionaires become so through owning real estate". – Andrew Carnegie
Whether you’re a buy to hold or fix/flip investor, it’s no secret, you’re probably going to eventually need private money for your financing needs. This is especially true when it comes to fix and flip deals. Why? Banks will rarely, loan on an “as is” property that needs rehabilitation. Private money does not always mean “hard money.” For example, there is a middle ground between hard money and conventional rates. This financing is typically for investors who require a financing product not offered by a bank. Or, either they don't fit the traditional bank model (income, credit, debt-to-income ratio and net worth standards) or don't want to pay hard money rates.
There are diverse financing products to fit the needs of many different types of investor borrowers. Explore loan options, tips and resources in this guide that can assist you in making the right financing decision for your investment projects.
Lathea Morris - www.MorlinoandLathea.com - 973-509-1903 Ext. 1#