And how are you going to get a 6% loan on it ?

Hey @Cameron MarroPersonal Loan or Line of Credit: If you have decent credit, a personal loan or line of credit could give you access to the cash you need for renovations without using your property as collateral.

I wouldn’t want to hold the loan for too long, so ideally it would be a 5 year term, presumably ballon payment at the end.

Thanks in advance. advice would be not to commit mortgage fraud by getting FHA loans with the intention to flip the property..

I was thinking a bridge loan might be an option , and then refi it later and pay back the bridge loan,  but I'm waiting for lenders to reach back out and run some numbers.

To us, its a "Bridge Loan" (lol).

VA loans are the only loans that allow this, and there is no rate penalty for it no longer being your primary home.With that in mind, you could do a cash out refinance today at a higher rate than current market rates which will create profit on the loan, we can take that profit to pay for your closing costs.

My plan is to buy the house subject to their existing mortgage, renovate the property, refinance it and pay off their remaining loan balance using the money from the cash out refinance.

You aren't required to offer a loan mod prior to foreclosure.

.~ I will most likely purchase the first home (multi-family) using a bridge-DSCR loan combo or a FHA203K (3.5-20% down).