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Updated almost 3 years ago,
Hard money/first time investment
So here my situation
. Sold out house in October, we're supposed to break ground on new house last month. Had some delays on the property so now are going to wait till next spring to break ground. We are staying with friends and had planned to be there 6 months not a year and a half. A house just came up for sale in my town that we would like to purchase, fix, live in till next year amd than sell once our house is ready.
We don't want to spend our money from the house sale as we want to have that on hand to start lining things up foe the new house. So we are looking at a hard money loan.
The house we are looking at is listed at 129k, it was appraised at 140k 2 years ago, zillow estimate(if the is worth anything) is 160k. Would like to put in an offer in of about 153k. i would put about 35k into the house, complete gut on kitchen and full bath, add a half bath on first floor, and paint the exterior. I am a remodeling contractor so i will be able to do nice upgrades for the cost of material and my time.
The real estate agent(my friend so i trust what he says) estimates with upgrades the house would sell for around 230-240.
The house listed friday and they are only taking offers till this thursday so i am crunched on time. I have already spoken to multiple hard money lenders and a fix and flip loan seems like the route to go but looking for any advice on this situation from what type of loan makes sense to any suggestions on a good lender or any other way to go about this?
thanks