Questions on repair money

[Kelly Conrad]

Hello! I'm just doing some research on getting into the Real Estate game and have been reading a bunch of stuff. One of the items that I haven't really seen laid out clearly is when you go into a property knowing you'll need to be doing repairs, how do those get paid for? I keep seeing things like "x property needs 10k worth of fixes", or "This property needs 15k to get it up to where it needs to be", however it looks like those cannot be covered by the loan....so my question is, how does that get paid for? If you're required to put 20% down, how does one also afford those extra expenses immediately? If anyone has documentation or anything that points to that question directly, that would be awesome :) Thank you in advance! 

[Patrick Liska]

Kelly,

Some times you can get that through personal lenders ( friends family ) or you can actually include that in your loan, sometimes the lenders, if you have explained your full intentions with them on what you are doing, will lend that extra amount to you so you can do the repairs, it may be a little tougher with conventional loans but if you had a commercial loan on the property, it may be a little easier to do.