How and where to FIND PROPERTIES to rent

[Alicia DeShields]

Hello- 

I am completely stuck on where to find properties in or around the Philadelphia area. Also, how is everyone paying for these properties? Cash, credit, hard money lending? 
thanks :) 

[Chris Pelc]

I would start by networking with wholesalers and realtors that specialize in investment property. 

I agree with Grady, in that you really want to define what your criteria you are looking for. Though i think its just as necessary for you to figure out how you would go about financing, because obviously you are limited to what your buying power is. If you're looking to fix/flip, hard money is a great route. Typically you can finance construction costs, and if it is a lighter rehab, you may be able to get a decent LTV on the loan say 85%-90%. With hard money, depending on the amount financed i would say generally speaking $50k minimum liquid cash on hand is a decent starting point. This would give you enough for the downpayment and cash on hand for holding costs on an all-in cost around $150k-$200k. Obviously experience, total net assets, and credit score have a big factor in what loans you would qualify for. Some investors that i work with in the Philly area like to purchase in cash and finance the rehab themselves, and depending on their strategy, will either flip the house or cash-out refinance for rental. There are other alternatives too.. If you own a home with a lot of equity, you could look at getting a HELOC. Let me know if you'd like to connect to talk a little more about this!