credit unions, hard money & banks to use for first deals

[Carlos Araujo]

How are you guys i have around 15k in the bank of my own money and I'm looking into Real Estate investment in New jersey I've seen some houses around 100k with 20-30 rehab cost. Anyone has any advice to where i should go for money, for the first few deals.

i have pretty good credit but I don't know if I should go with a conventional loan.

please help 

thank you guys 

[Eric P.]

Does that $15,000 pull from your personal emergency fund?  IMO you should have a separate fund for your personal well being, 3-6 months worth of bills in cash just in case.

If you have that you should also have 3-6 months worth of bills from your investment property. because what if there is a surprise or its a bit harder than you thought to get a good tenant and takes some time.

Typically an investment property will be 20%-25% down, though I do believe you can find 15% down loans these days from some online lenders.

There will always be surprise costs and fees when buying a home such as taxes up front, title search, other closing costs, etc.

If you are rehabbing I would take whatever you think its going to cost and add 25% just to be sure.  

I'm also looking to get started with homes in that $100,000 range.  I'm counting on having $25,000 hard cash for the investment to cover everything with $5,000 toward minor repairs/updating assuming 15% down.