Enough to Rehab? - Posted by Shawn Goins

Posted by Shawn Goins on October 28, 2003 at 10:40:59:

Jason,
Thanks for the input. It helps tremendously.

Enough to Rehab? - Posted by Shawn Goins

Posted by Shawn Goins on October 27, 2003 at 23:19:40:

I currently have about 10,000 in cash and over 10,000 as a cash advance from my credit cards. My question is should I try and flip some properties to generate more cash or should I try my first rehab. I am interested in rehab because of the potential profit and I enjoy fixing things around my own house and want to extend what I have learned to other properties. Please any advice would help!

Re: Enough to Rehab? - Posted by Sean

Posted by Sean on October 29, 2003 at 19:35:32:

I rehab all the time using nothing but the 60% HML loan… need to use a little cash for hand money(if needed) appraisal and to prime the draw pump, but nowhere near 10k… you buy right and you won’t have to come out of your pocket for more than a grand tops to purchase and rehab the house.

Re: Enough to Rehab? - Posted by jasonrei

Posted by jasonrei on October 28, 2003 at 10:07:19:

On my typical rehab I use a HML or private lender, and I get 100% purchase financing. Typical repairs will run $12k, but that’s mostly labor. If you do things yourself it won’t be nearly that high. You want to budget for at least 6 months of interest payments.

On my typical deal, $10k available cash and $10k available on credit cards would be more than enough even if I hired out all the work.