Cash out Refinance with horrible credit

[Emilio Mejia]

Hello, I began two flips pretty much one after the other, over leveraged myself. Rehab went as planned on both, however the first one was higher end and with the rates going up the buyer pool severely shrinked, second flip cash flowed more and was below the medium price range so that one I had no problem. A lot of lessons learned.

Point being because of being unable to offload the first flip and being overleverage, I destroyed my credit within 3 months. Now that the flip wont sell in this market, I also can't cash out refinance out of it due to my credit being screwed up.

Anyone have any options or recommendations or lenders that will still do the refinance. 

Thank you in advance.

[Steven Goldman]

Emilio Mejia   For newbies who might be reading this post; This is a common situation which occurs if you overrun your budget or use your credit cards for rehab money. It demonstrates the necessity of good planning, estimating and execution so that the project moves quickly and within budget. It also reveals how important it is to anticipate shifts in the market as they can make a home run into  a strike out if market conditions go against you. The solution is a DSCR loan that only requires a single guarantor. The trick is networking sufficiently to have a partner who is willing to lend their credit into the deal to get it wrapped up. While this may be a solution, without more information it is impossible to know if that would work in this case. Building a human network which you can draw on to fill in the gaps in your own finances, or knowledge, is essential. Good luck and keep moving forward.