Posted by Ed Garcia on January 23, 2002 at 09:31:07:
Ron,
My suggestion because you need $30,000 fix up money as well as the money to purchase the property, is for you to go to a small local bank. I would suggest since you’re trying to purchase the property without down payment as well as borrower an additional $30,000, that you cross-collateralize your new acquisition with a current property you own. This type of lender is a portfolio lender who will do cross-collateralizations.
You shouldn’t have a problem with your credit score because this lender is not necessarily credit score driven. They will do their own do-diligence, as you have said that new loans and inquiries have lowered your credit score. They will also be able to see and appreciate the increase in value if you present your deal properly.
I am trying to purchase 3 duplexes and 3 Single Family Homes all situated on one Parcel of land. The homes all sit on .6 acres in a square formation. The owner is asking $270K but I need $300k to do capital improvements. The property will appraise for $400k after improvements. It sits directly across the street from a retiremtn home and they are building new aprtments a block away from the units. The current monthly rent is $3760 but I beleive it can easily be $4950 after capital improvments. All units are 2 bedroom 1 bath. The property is located in Charlotte, NC. My current middle credit score is 580 because of new loans in 2001 and a lot of inquiries. Total Heated SF is 5825. Do you know of anyone I can contact that would do this loan for me in NC. I need to know ASAP. Please contact me at (704)596-0084.