Creative Financing Suggestions in NJ

[Suzanne O'Brien]

I live in the Jersey Shore area of NJ and I am interested in a house that was damaged by Sandy and is in a high flood zone. This house would be worth more if it was knocked down and rebuilt (as is the flood insurance is high, BFE is 9ft) however I don’t have the funds to do this on my own. After talking to the realtor and a contractor it would be roughly 500k to purchase and rebuild, comps in the area show the house should sell for at least 700k new. Hard money loans seem really expensive with the interest fees and points. Can anyone share the details of a hard money loan they used? Or any other thoughts and suggestions on this, maybe seller financing? Thank you!