Marylan Fix and Flip Lenders

[Tim Lewis]

Hi all. Im a newbie and I dont have an LLC set up yet but I do want to begin my first fix and flip deal in Baltimore, MD. That being said I also don't have the cash reserves to begin my own deal so I wanted to use a reputable private lender to fund the deal. Can anyone recommend a lender in the DMV area that specializes in rehab lending?

[Alan C.]

If you don't have any cash reserves, you're going to have a hard time getting any type of loan. 

Even hard money lenders will require a down payment or money at closing to pay closing costs. 

And they will need to see you have enough to pay your contractors until they reimburse you after they inspect the property to verify that the work has been done properly.

Even if you were to find a lender willing to put up all the money, your lack of reserves will definitely cause you major problems somewhere along the line, especially if this is your first flip.

I think you need more education and savings before you take on your first project.