It’s because having cash available doesn’t not necessarily mean the borrower has the credit CAPACITY to obtain a loan.  

This is a pretty simple deal for a bank/credit union in the area to do a DSCR loan.

This prevents the foreclosure from damaging their credit for years, but also does not return equity.The homeowner may consider selling the house on the MLS or FSBO.  

Does Shiloh's rehab credit plan ring any bells to you?

The other way I fund deals with none of my own money is using a private lender that I have years of experience and relationship with and/or using HELOC and other business lines of credit.

Bank Recommendations:Chase and Bank of America are popular because of their extensive business banking features and integrations with bookkeeping tools.Smaller community banks or credit unions can offer more personalized service and lower fees, but make sure they support series LLCs.Online banks like Novo or Mercury are great for tech-savvy users who want low fees and easy online management.What to Watch Out For:Hidden fees for transactions or deposits.Limitations on the number of accounts or ACH payments.Difficulty in maintaining clear separation between the series, which could risk the limited liability protection of your LLC.Since you’re using a Series LLC structure, it’s crucial to keep each property’s finances completely separate to maintain liability protection.

Bringing in a partner, second mortgages, line of credit are sources of additional funding to close. 

The fees for us to do it were $492.50 and you can see the lender credited those back to us. 

However, some community banks and credit unions may offer more flexible terms.Best of luck!

I run a private credit fund - I need to pick their brain on how they can give investors 12-13% and make money.