Looking to purchase my first property investment...

[Arlu Tejada]

Okay, I threw spaghetti offers at properties in Indianapolis last two weeks. One property came through and I now have it under contract for $8,000. My goal with this property is to rehab it, refinance it and rent it out. I think it's smart to build up a passive income with this first property investment.

The thing that is a little confusing with me is about bank mortgages. Let say I have 10k cash and I buy this property with it. But I need about 25k more for rehab. Who can I go to for that loan. See, now I'm only 19 years old and I just started building my credit. I don't think the banks going to qualify my loan. I'm kind of stuck here now and I don't know what to do.

I guess the question that I am really asking is....I have 10k cash and I can buy this property for 8.5k But what can I do with rehab? I need cash for it and I don't have that much.

[Jeffrey K.]

YOU ARE 19 and YOU LIVE IN CT AND YOU WANT TO DO YOUR FIRST DEAL IN INDY ON A REALTORS WORD WITH NEXT TO NO CASH, NO TEAM ON THE GROUND, NO FINANCING, NO JOB, AND GOT YOUR ARV FROM ZILLOW.COM AND THE GUY SELLING IT TO YOU! BAD NEWS! Please save your money. Read a bunch on BP. Meet some investors in your area and look at a ton of local deals. Try to find a partner and make up for your lack of credit and money with effort. Try a simple deal for your first one. Dont go out of state for a sketchy one. This has BAD NEWS written all over it. Also, you say that "you really hate wholesaling." IF YOUR DEAL WAS ANY GOOD IT WOULD NOT BE HARD TO FIND A BUYER! I do not want to burst your bubble, but call this one off before you own a real pain in the rear and FLUSH ALL OF YOUR MONEY DOWN A RENTAL QUALITY TOILET(I LIKE MANSFIELD IF YOU END UP DOING THE BATHROOM)!