Funding for Rental Rehabs?

[Michael Lerch]

I came across a decent house that would make a great rental property well within the 2% rule after repairs... but it needs about 20k in repairs. 

Purchase price is around $14,000 (possibly cheaper if I renegotiate) but I wanted to know what my options were? 

Would a bank lend around $40,000 for purchase and repairs on a non-owner occupied property? If not, what's the next best thing? Do hard money lenders work with rental rehab deals and how would something like that work? 

My end goal would be to either keep it or flip it as a turn-key property.

[Jonathan C.]

I think may be hard on a property with that low of a price point through a bank.  Loan would be too small for most banks to find it worthwhile.  Peer to peer lending may work.

FYI, I've found a couple local banks will do a 75% acquisition, 100% rehab loan for around 6 months, then convert to 25 year amort loan with balloon in 5 years.

LOCAL banks are key- smaller the better.  Have to search around a lot.  I called, literally, around 18-22 banks.  But they do exist.