Try a signature loan or similar using a credit card. For a signature loan go to a finance company (Household Finance). Credit unions and if you are well established at your bank they may agree. They are less likely to do so if you say it is for RE. Better to say it is a business expense as you want to buy some asset.
You can use hard money if the value is high enough compared to the sale price. 100% of the purchase price can work using hard money.
Not sure you will be able to refinance quickly at anything more then the sale price. Most lenders will use the lower of the sale price or value in the 1st 6 to 12 months on a refi.
My business parter has good credit and qualified for a 95% investment loan to buy a pre-foreclosure home in Ohio. We already have a nice appraisal and plan to refi immediately, cashing out $25,000 to invest in other properties (and cover our payments until the house is leased or sold). However, neither of us have any CASH and can not come up with the five percent for the down payment! It sounds like a simple, sweet deal, but may not be put together for lack of $5,000 dollars!!! Any ideas where to come up with the cash to close this deal???
Does your partner have any equity in his house. He can get up to 100%CLTV stated on a Heloc or fixed second if he has 670 credit. Although, there is a minimum loan amount. The higher the credit score the lower the interest rate. If you need any help, let me know
Re: 5% ($5,000) needed to close this deal! - Posted by loanofficer
Posted by loanofficer on August 23, 2005 at 24:01:23:
If your business partner owns a home I would suggest getting a Home Equity Line of Credit. They are usually credit score driven 640-699 will get you qualified up to a 90% CLVT 720+ will get you a 100% CLTV. There is very little paper work involved and can be closed in about 2 weeks and no closing cost to you. Another advantage is that you can keep the line open and continue to use it as a source of down payments for quick flips. There are also lenders that don’t require a seasoning period to refinance for the higher appraised value. Talk to any good mortgage broker and they will be able to find you a lender. However you will get a little higher interest rate. Hope that helps