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Updated about 9 years ago on . Most recent reply
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How to structure this deal with a bank
Hopefully this is the right place to post and I appreciate any advice in advance. I am in Alabama, I have $200,000 in cash and zero debt. I have a background in homebuilding, real estate and renovations. I am trying to figure out how to leverage that $200,000 and get a bank to go in with me on some flips. I have no idea how or what bank would do something like this. Basically I want to say "ill deposit $200k in a CD or whatever vehicle and make you first position on any mortgage I take if I can get a line for say $350,000. I am just trying to not limit myself to $200,000 deals. Now I could certainly stick with that threshold and just build up my cash over time. I don't know from a banking standpoint it would work. At closing, there would have to be something that says they are in first position on the asset but it cant move at a typical loan approval pace. Hopefully I am making sense and any advice would be appreciated. The hard money route is out there just hate to pay 15% interest.