Hard Money Lending & Bad Credit

[Allan Kyariga]

Hey everyone, I’m a first time real estate investor. My biggest obstacle at the moment is simply getting pre approved so that I can start making offers to get the ball rolling on my first wholesale or buy and flip. I have basically no credit history at the moment. Was wondering if there were any hard money lenders out there that value the deal that you find over your credit history. Let me know any thoughts tips or suggestions. Thanks!

[Bobby Montagne]

Hi @Allan Kyariga , when you say no credit history, does that also mean a low credit history? Some hard money lenders are willing to be flexible if the borrower has prior flipping experience and has a good deal on his hands. I'd say that the average minimum score tends to be 600 for a hard money lender. However, each one has different criteria so make sure you shop around.

However, not all hard money lenders will require you to put ~50% down. That's a crazy amount and if one does require to do that, run as fast as you can. I would say from our experience, 20% down is the norm.