With the downturn of the real estate market, I get a lot of inquiries into acquisition and rehab loans. No money down, no cash out of pocket for the rehab, can you use the appraised value of the property and finance everything else? Well, yes I can.
Now before you get excited, let me tell you that in order to make this rehab loan a reality, there are some stringent qualifications. A borrower with a 500 credit score, recent bankruptcy and no money to their name is not going to qualify for a 100% rehab loan. Not a chance. A good credit borrower, with assets to their name, however, and even in today's market, it is possible to get in with no money out of pocket.
These acquisition and rehab loans are hard money loans. They are costly, but all the fees can be rolled into the loan. In addition, 6 months worth of payments will be rolled into the loan as well, so there will be no payments for 6 months while the rehab work is being done. I'm typically a California hard money lender, but this is a program that I can offer in many states around the country. Take a look at my rehab loans page for the requirements on this acquisition and rehab loan program. There is also a rehab loan quick application if you or your client fit the requirements. Complete that form and we can get the ball rolling.
Check out my home page real estate blog for more information on rehab loans and other real estate related topics.
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