Skip to content
×
PRO
Pro Members Get Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
$0
TODAY
$69.00/month when billed monthly.
$32.50/month when billed annually.
7 day free trial. Cancel anytime
Already a Pro Member? Sign in here

Join Over 3 Million Real Estate Investors

Create a free BiggerPockets account to comment, participate, and connect with over 3 million real estate investors.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
The community here is like my own little personal real estate army that I can depend upon to help me through ANY problems I come across.
Buying & Selling Real Estate
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated over 6 years ago, 05/17/2018

User Stats

9
Posts
4
Votes
Elizabeth Jackson
  • Contractor
  • Yakima, WA
4
Votes |
9
Posts

How do I finance and get this deal?!

Elizabeth Jackson
  • Contractor
  • Yakima, WA
Posted

Good morning Bigger Pockets!! I am sure there is something similar to this in a forum discussion, but the amount of information is crazy to sort through and string together what is relevant to my situation. So I am doing a post (clearly), hoping someone can help guide me here.

The DEAL: There is a cash only property for sale by me. It is the ugly duckling of the neighborhood. I would like to offer 68k. The rehab will be extensive, but it's a pretty small house so I estimate approximately $38-40k. The neighborhood comps are 150-160k. I have friends who would love to rent the property if I get it. I told them a number that would cashflow nicely, and they couldn't agree faster. I've run the numbers, done the calculators on here to double check my numbers, everything looks great. One problem? I don't have this kind of cash! 

My STATS/History: We own three properties, two rented out with solid histories, one we live in. I looked at doing cash out refinances, but I don't think I can pull from three homes even though the equity would probably be there. I MAY be able to get the family/friends loan for the rehab, but not the purchase. I figure it'll be a 4 month reno in worst case scenario, but I hope it's less. Here's the real kicker: I don't work currently because I am a medical student (tho I'd rather be in REI...). But this would be a summer project supported by a great contractor I have here. My husband works, but he's in non-profit so his income only stretches so far.

Is a hard money loan my only option? Can I pull the equity somehow? Thank you all for your help!!

Loading replies...