@Marc Velasco are you able to qualify for conventional self-employed borrowers are having it a little harder now.

I know it has been a buyers market for borrowers for a long time... right now it seems that has switched, as lenders with money are tough to find.

Could be worse than 2008 since unemployment is spiking in every market and eventually many of our borrowers will run out of financial resources to meet their debt obligations.

Lender’s typically allow homeowners to borrow up to 80 percent of the home’s value, the threshold can vary, depending on your credit score and type of mortgage.

Lots of joker brokers out there and right now we are seeing them not close deals last minute thereby really hurting the borrower who has paid for things has EM up etc etc..

Most borrowers who miss one payment never catch up.

The borrower must also make a down payment of at least 3.5% of the purchase price or appraised value. 

The govt requires them to allow tenants extensions to make rent payments - their non regulated lenders don’t have to oblige. only conventional loans under government guidelines are required to allow borrowers their own extensionsThis will certainly get interesting

The deal is as follows:Purchase price: $132,000Rehab: $165,000 (adding 2nd story of ~1,000 sqft; renovation of existing base floor of 1,203 sqft)ARV: $369,000 (based on comps, it could sell as high as $400,000)Profit: $44,000 if I borrow mostly from hard money (I will try to use a HELOC or conventional loan to increase the profit)I have an architect and a general contractor lined up. 3 months of rehab.

Will borrow to get it, and continue to live paycheck to paycheck in their nice house and nice car.