How can I finance building triplex on my lot?

[Scott Macgowan]

I am in Seattle Wa and want to build a triplex on my lot. I am finalizing designs with architects and I am submitting plans to city in the next month. It is unique lot that was recently rezoned by city to RSL which allows me to build additional building. I already own a single family home/rental on lot with $500,000 in equity. I am hoping to start construction in the spring/summer. I would not qualify for traditional financing right now but I want to get something lined up. Thinking about Hard money but Im not sure what my options are? Hoping to keep construction costs under $600,000.

I own 5 rental properties in the city that all have plenty of equity. I completed Construction my first triplex a year ago with traditional financing where I currently live. I know longer would qualify so I need help figuring out how to move forward?

[Sherief Elbassuoni]

@Scott Macgowan, if you are submitting the plans next month, I feel that start construction in the spring/summer is a little optimistic. I think it will take the City more than that to review the plans, give you comments, you submit revisions, then get the final approvals and permits.

If you can not get a conventional or construction loan, hard money lenders will cost you a lot.

If you have equity in your other houses, have you thought about pulling the HELOC out of these houses? The HELOC interest rate should be way less the hard money rate.