Posted by Rolfe on April 12, 2000 at 24:02:58:
Credit card financing is probably the lousiest type of financing you can get. That said, if you have to use it, you have to use it. I completed quite a few properties using credit cards. Once in awhile, I’ll still use credit cards for small down payments.
The key is to turn the property around FAST, to avoid accumulating credit charges. If you’re going to keep the property, start working on a refinance as soon as possible. If you’re going to sell, market the property aggresively.
Make sure you have a lot of confidence in your builder, dad or not. In your construction costs, include an estimate of the “carry cost”, that is, the monthly payments you’ll have to make on the credit cards during renovation. Use home improvement centers’ credit when availabe, and watch for “no interest for 90 days” specials. Some subcontractors will also extend credit to you.
Remeber, get the project done as soon as possible. A renovation project which drags on can extoll a significant financial and emotional cost.
Never Quit, Rolfe