Need help buying a buy and hold property with no money

[Jennifer Fernéz]

Hi, I'm trying to find out information for buying a small multi unit property.   I have a savings account with about 5k in it, which is not enough to pay for 25% down plus repairs.   I'm looking at properties in the $40,000-$100,000 range.   What is a good way to go about buying properties if you do not have a lot of money?   Is it possible to get a hard money loan to use as a down payment for a traditional 30 year loan?   Also, what is the best way to go about renovations with very little money?

Any suggestions would be greatly appreciated.    Thanks!

[Kevin Romines]

I am buying on a contract and then turning and lease optioning the property out. I tell the seller verbally and in my purchase contract, that I'm not closing on the deal until I find my lease option tenant. I write a 60 day option period in my purchase contract. My down payment, reserves and small profit comes from the non-refundable option fee. Basically negotiate a smaller down to the seller than you will get on your option fee. I try to get 5000 more than my down to the seller. 3000 or so goes into a reserve account, 2000 is profit. I generally try to get 100-250 a month payment spread over my payment to the seller. I generally get 5000 to 15000 more on the back end when tenant buys, as I have paid down the balance a little and their balance doesn't go down except for the option fee they paid. I only do these on single family houses. But I have bought the last 4 houses for no more than 1 dollar out of my pocket.......... Now where else can an investor get rental property for 1.00 down? 

If you can't sell the house, your out your 1.00 and time, although with careful scrutiny of the numbers, you should be able to close on the deal........... I'm closing 2 more this week.