Investor · Bellevue, WA · Member since 2021 · 10 posts · 3 votes
OK, savvy investors, talk to me about your experience financing the purchase AND extensive rebuild of a multi family building! A FHA loan to cover both? A regular mortgage for purchase then a creative loan for the reno? If the latter, what creative loan? Thanks!
Most lenders here on BP will do value add loans on 1-4 units. A one year bridge loan will get you between 80-90% of the purchase price + 100% of the rehab not to exceed 75% of ARV. Once rehabbed you can refinance into a traditional loan or look at a DSCR loan.
Thanks. Just want to add that it most likely will take over a year to get permits etc. to rehab and longer still to sell. We do not intend to hold afterwards.