No money down investment strategies

[Matt Harmon]

I am looking at a 9 unit rental property. 7 of the 9 units are currently renting at 450/month. The other two are vacant. The property itself is selling for 375k.

Before hitting up family and friends for capital, I'm researching if there are any no money down strategies I could use to purchase such a property.

Regards.

[Paul Wachtler]

Hi Matt,

Do you plan on having to do any rehab to these units which will bring up their overall value? If so I'd say you could look into the BRRRR strategy in conjunction with a hard money loan. Hard money lenders may let you put only 5-10% of the closing costs down and then cover the rehab costs. Once the work is done you could then do a cash out refinance and potentially get the money back that you put in up front.

Partnerships are also a potential avenue for you.  Finding others that don't want to do the work of finding or analyzing properties but have capital to invest.

I'd recommend reading both Brandon Turner's book on real estate investing with low or no money down and David Greene's book on the BRRRR strategy.

Best,

Paul