Which loan would be best for me?
HI, my husband and I would like to buy and flip a home. We have two homes in California.Our primary residence we owe 405k (worth-750k) our rental property we owe 185k(worth 325k). we only have about 35 k in savings. So we were thinking of getting an equity line or a hard money loan. My husband works in construction so his time is limited. Which means we might take longer to flip house since he would be doing most of the repairs himself. which loan do you think would work best for us and do you think now is a good time to invest? I have been reading online that a recession might happen next year , so we were thinking of waiting till house prices drop in California. So not sure if we should wait or buy and flip and sell by before end of year? Any info would help. Thanks.
Thanks so much for your questions. I would call some lenders and see what would be good options for you. Hard money loans are generally the most common for fix and flip projects. These lenders usually look at the project itself, your/ your husband’s real estate/construction experience and your overall financial standing. Hard money loans vary in length but most are 1-2 years and are paid back when you sell the property. I can’t recommend a ‘good’ time to buy but I would research the neighborhood you want to buy in and see what other homes have recently sold for so you know what to expect. Here’s a hard money lender directory with lenders in each state https://fitsmallbusiness.com/reviews/hard-money-lenders/
and here’s a link to an article on hard money loans https://fitsmallbusiness.com/hard-money-loan/
Hope this helps.
Best of luck,