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Updated about 6 years ago,
Advice on funding a relatively small rehab?
Hello all. I purchased a house in Detroit MI for a couple thousand of dollars at auction. The house is in a working class neighborhood, close to businesses and bus lines. Its quiet during the day because people are at work. Theres a church mega church like a block away and a mega park a few blocks away. The house across the street sold for 37k as is, and flips are going for 65k. The house has seen better days obviously but has solid bones and doesn't need a complete demo. Paint, carpet, hardwood etc. It doesn't need any roof work and miraculously has all of the wiring. I can handle most of the cosmetic work myself, and seeing as this is my first flip (or investment of any kind) I want to in order to get the experience. So the rehab budget is 15-20k. I can sell for 45-50k and make a 20k profit, and those are low estimates. The problem I am running into is that my rehab budget is far below most lenders minimum of 75k. I could of course pay for the work myself but that is a last resort I'm open to all options and suggestions.