All Forum Posts by: Matt Gaedke

Thanks for the feedback! It does seem to make more sense to get the property into a rentable condition and then do the big rehab prior to selling. Great info!

Hey all, first post here.

I'm going to be getting involved in Real Estate and I'm trying to form a strategy. I've been researching wholesaling, flipping, as well as single/multi family buy and hold investing. I've read a handful of books on each topic, as well as almost all the ones commonly recommended on these forums.

I've decided to take the approach of buying, rehabbing, and renting for a few years before selling and using a 1031 exchange to defer taxes on the profits. I run my own business and have a fair amount of cash that I want to put to work over the next 3-5 years. So here are my questions:

1. Can I purchase a property with cash by getting a loan from the bank first?

2. Can I purchase a property with cash and then get a loan for the home equity at a later date?

3. Is there a limit to this? Can I buy 50 properties in cash and then get a loan for the equity?

4. In my research on wholesaling I quickly learned that it is a very competitive field. This is where the term "cash buyer" kept coming up and I realized that might be more of my thing. Can you typically get properties at a significant discount to the market when buying from a wholesaler, or are you paying close to listing price?

My concern with buying properties with cash is that it limits my purchasing power when compared to a typically 20% down mortgage.

I'm still in the early stages and trying to get clarity on a few things. Thanks for the help!