All Forum Posts by: Gary Nething

Thank you Hattie and James.  I think you have clarified it for me.

No, I am trying to buy a foreclosure with little cash out-of-pocket.

Okay, what I understand is that I can buy a foreclosure or a property below market value for price with the anticipation of doing the repairs and getting a loan on the money for the new appraised value of the property.  So I am up fronted the money by a lender for the first close and then I can borrow 75% or so on the new higher appraised value which is enough to pay off the first loan.  My only out of pocket would be the repair cost.  Does that make sense?

I would like to buy a multiplex property using a double close for the purpose of holding as a rental property.  I don't quit understand how that works.  Can someone explain how that might work.