I am new to realestate but I have always had an interest in rehabilitating houses (no money down) for profits and I feel I can start with wholesaling contracts.

Looking to grow my company by investing in REO/distressed properties and build a diversified portfolio of rentals/rehabilitations.

Our mortgage lender says that those are bad ideas for something so short term, but his option was getting a rehabilitation loan from them on top of the home loan.

I need advice on this house I came across, the guys say he's sailing for his dad, the house needs total rehabilitation but it is brought up to code.

Determine their equity position and your cost invalved with purchasing, rehabilitation, and sale or renting what ever your exit strategy is.

When done right, investors can purchase a distressed property for a relatively low cash investment, fix it up, and rent it out for strong cash flow.Building equity: One should also account for the amount of equity that is built up during the rehabilitation phase.

Virtually all building componentsare new or have been recently repaired, refinished, or rehabilitated.

quickly after rehab in order to get my capital back to work with.So if after its rehabilitated its worth $250k...

If you've rehabilitated it since you bought it, it may appraise higher now, giving you more current equity.

Those contribution calculations and pro-rations should include the total amounts injected including purchase price, closing costs, rehabilitation and holding costs.The rehab money can be put into an escrow account and the "draws" can be administrated based on certain milestones in the  rehab process.