I found a building here in town I would like to buy, it is $35,000 I don’t know who I would talk to or how I would even go about buying it. the banks around here don’t want to even talk to me about it, my debt to income is high, the building has an antique store in it now, I would keep ask them if they could stay for a while but I do not know where to go from here.
Hello, Adam, and thank you very much for your question. It sounds like a very interesting venture!
There are a couple of things that you might consider which would eliminate your need for a traditional bank, which seems to be your big sticking point at the moment. One idea would be to approach the owners of the building about seller financing. While many sellers prefer not to finance property themselves, you never know – it never hurts to ask!
However, there’s another option that may be even better for you given that there’s an operating business in the building – and that would be to look for a Business Line of Credit. We’ve looked at a number of providers and have ranked the Best Business LOCs – you may want to take a look. While these are higher-interest products, you may be able to pay the loan off quickly depending on your plans for the building or if you can keep the current antique store in as a tenant.
Based on what you say about your debt-to-income ratio, once provider that you may want to take a look at is Fundbox. While Fundbox requires credit checks when applying for a loan, our understanding is that they have no minimum score to qualify. They may be just what you need!
Hope this helps – best of luck on your acquisition!