How do you finance your first home flip?
Sorry to repeat in another category – just looking to get the most answers:
My husband & I may be interested in house-flipping. What we cannot figure out is how seemingly young, median income folks get the financing for the first house. I assume they must get a loan from the bank for the home but what about the money to actually renovate the house? On the home-flipping shows, I’ve seen renovations cost anywhere from $ 20k-100k….that’s on top of the monthly mortgage they are paying. I can understand a bank risking a loan on you if you’ve already successfully flipped a house before but for your first one…I just don’t see any bank doing that. Please enlighten me. How do first time home-flippers get their financing?
To answer Tim’s very rude, arrogant response: No, my husband & I aren’t thinking of doing this NOW. Yes, we watch the news. Yes, we understand the market. I was just getting some advance research out of curiousity. Nowhere did I say we wanted to do this RIGHT NOW in today’s current market.