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Updated over 6 years ago on . Most recent reply

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8
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2
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Jeremy Klein
  • Peoria, IL
2
Votes |
8
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How to pay for Rehab?

Jeremy Klein
  • Peoria, IL
Posted

So I always hear people talking about getting the financing and everything to purchase a rental of fix and flip. I don't really hear anyone talking about how they financed or cover the cost of rehab part of it. What are some of the best way to pay for the rehab. My single family home I lived in for about 5 years and fixed it before I turned it into a rental. I'm wanting to buy another rental but I would pretty much only have the money for the down payment. I do have equity in my current home I live in and the rental. I feel like most people use their equity to make another house purchase though?

Most Popular Reply

User Stats

131
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59
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Daniel Molina
  • Lender
  • Charlotte, NC
59
Votes |
131
Posts
Daniel Molina
  • Lender
  • Charlotte, NC
Replied

@Jeremy Klein I think it depends on the investors situation. I always recommend using leverage as there are plenty of specialized/private money lenders out there who can help you fund the acquisition and rehab of a project. In some case, this can be non-recourse money as well. 

I am happy to talk in more depth about it if you want to call or PM.

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