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Updated almost 7 years ago,
Getting funding for first flip ideas? Thoughts?
So my question is about how to get 100% funding for a flip (purchase and rehab) when just starting out. I know it's a rare thing but I know it does happen. I have a few ideas but don't know if they'd work or not. Or if there are other ways to go about it.
1. Close on my wholesale deal I got now take my fee that's close to $6k, re invest and do more marketing and close on a couple more deals till I have the money to where I now have a down for a hardmoney or private money investor.
2. Friend of mine wants to flip a property but she can't find any offmarket property deals and also has to work a full time job, but she can provide the funds. The Scenario would be I find a good deal where the numbers are good she provides the funds and buys the property. And I would be working on the property as a project manager making sure things are getting done right and we're on track with our time frame. (Since I've been to quite a few rehabs of a friend of mine who's a very well known flipper) seeing and understanding how things go and work during the process from what he shows and teaches me. And we'd be making all the decisions 50/50 along with splitting the profit 50/50
3. Then this is the one I'm still trying to figure out. Finding a private money investor who would fund everything in exchange for the deed.
I'd also have my friend as my partner/ mentor in this since he's done over 90 flips so there's a little more of reinsurance on the deal. Split everything 50/50 with the PMI and I'd split 50/50 with my partner in it. Making money is great and all but I also really want to build my experience and knowledge up with all this, So in the future with the next deals I come across it'll be easier for me in the long run.
Please I'd love to hear any suggestions or just feedback on this! Please no negative comments they're just ideas I've come up with while at my 9-5.. as of right now I'm gonna probably be doing the first one and build more capital. Thanks BP!