It would be very rare that you would find someone willing to give you a 30% discount in this market on a nice move in ready home. Not even 1 in 100 I think. Probably one in 500 or one in 1000. But I do not think that is what your lender wants. They want you to have some investment in the deal.
The hard money lender will loan you 70% of the after repair value of the home. Meaning that if a home is worth 100k in perfect condition they will lend you up to 70k to purchase the home and do the rehab in the property. But the key is once its fixed up you will need to refinance into a permenate long term loan (Fannie Mae) to hold as a rental.
I work with lenders that will allow you to get the hard money and finance 100% of the deal hard money and refinance you as long as you are a qualified buy and hold investor.
No it's not usually hard to did these type of deal depending on what area you are looking to purchase.
You need to work with an agent that understands the business model, knows the players in the investment game and find an investment club to help support and educate you.
Give me a call if you would like to discuss your situation in greater detail. I have a couple of properties that meet the criteria lined up now.
The Michael Group
RE/MAX Associates of Dallas
I believe John's statement below may appropriately apply to your question. Since you are purchasing investment properties, the lender may require you to put 30% down, and they will finance the remaining 70%.
There are plenty of homes on the market that are in excellent, move-in ready condition. Contact me and I'd be happy to hunt some down, negotiate the best offer, and represent you in the purchase process. You can also view properties on my website at http://www.NeedMyHomeSold.com/property-search. Let me know how if I can be of assistance!
Diane Briggs, REALTORÂ®
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Lynn911 Dallas Realtor & Consultant
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