Fannie Mae has a "homepath" loan program for rehabing a property, and there is a 203K loan program as well. Check on the Fannie Mae website and also call a lender to see who does rehab loans--there are not very many banks that do this, and the interest rate and closing costs are significantly higher and more complicated--you have to have contractor bids signed and ready to go prior to closing--no money for do it yourself projects.
Hope this helps,
Myke Triebold, GRI, SFR, LMC
keep some of the cash for maintenance, other investments, etc.
Look for a HOMEPATH RENOVATION loan;
it works for investors, (non-owner/occ.)
and the loan will allow up to $35,000 for repairs.
This way you will have a bunch of tax deductions and money still in your pocket.
Good luck and may God bless
can only use Homepath Mortgage programs to finance the purchase of one of
their REO properties!
If you hav'nt selected a property yet , buying a Fannie Mae property offers
advantages like Homepath funding and appraisals in place. Any way you do it:
Go visit http://www.homepath.com Best of Luck!
BOB BRUBAKER HIGHLIGHT REALTY PALM BEACH COUNTY FL. 561-876-6649
I found a couple of local lenders who offer Homepath to non owner occupying investors so will probably go that route.
Thank you all for taking the time to reply. Your advice has pointed me down the right road.
Do you own any other properties under a corporate name? If so, and you're are buying more for the purposes of investment, you might look into an SBA loan. Usually these loans are devoted to businesses, however business with real estate attached often qualify. Whether real estate alone as the business will fit the guidelines may be up to the lender. You best bet is to check with a lender who specializes in SBA loans.
Short of that, you will be best off with a 203-K or Homepath loan that allows for investment real estate in South Florida.
Marc Jablon, The Jablon Team
RE/MAX Complete Solutions
for financing investment properties ! While both these programs are
excellent "tools", both are designed for loans to owner -occupant borrowers !
You may want to cosider a three step approach to this in the alternative. Buy for cash, Look
for "cash-out " financing, Use loan proceeds to make your "re-hab" ! Look for a lender
that is oriented to both Commercial and Residential Finance. They should see a way.!
Best of Luck! BOB BRUBAKER HIGHLIGHT REALTY PALM BEACH COUNTY FL. 561-876-6649