[Simon Hastings]

I’m new to investing and currently own an owner-occupied multifamily property, but I’m eager to expand my real estate portfolio. The only hurdle I’m facing is the lack of capital to purchase properties outright. I’ve been looking into hard money lenders, but I’m open to suggestions from others who may have alternative ways to enter this market without significant capital. Any guidance or advice would be greatly appreciated. Thanks in advance!

[Jamie Myricks]

@MoneyMon –

Could you consider house hacking by moving into another multifamily property and renting out your current one? That could be a relatively straightforward option.

Do you have equity built up in your current property? Perhaps you could explore getting a HELOC and utilize that money towards your next purchase. I’ve personally used this strategy twice with success.

While hard money lenders can offer financing, their terms are often costly compared to traditional loans, and they typically prefer lending to experienced individuals.

Another possibility is to seek partnerships. If you have a stable income and good credit, you might find someone willing to provide the down payment while you qualify for the loan. This could be a creative way to leverage resources.

[Lori Thomas]

that is how I was going to do by first deal.. Get the loan having someone pay closing cost and interest for me in return I had to split 50 percent of proceeds. I thought about the HELOC way too

[Dean James]

When it comes to flipping houses, cash buyers usually snag the best deals. If you’re new to the game, though, be prepared for a learning curve. It’s not as easy as it looks on TV. Depending on the property, a simple makeover could take a few months to a whole year, especially if there are unexpected issues. And if you’re in a hurry, expect to pay extra.

Let me give you an example: I’m working on a 2100 sq ft house in a great neighborhood. We’re making big changes inside, like redoing the kitchen and bathrooms and putting in new floors. As a contractor, I can keep costs down, but for most people, it’s gonna cost a lot.

In the flipping business, time is money. Every extra day means more expenses and missed opportunities. Plus, who knows what the interest rates will be in six months? It’s a risky business.

[Malcolm Brewer]

Hey there, I’ve been flipping houses for the past seven years, and let me tell you, it’s no walk in the park, especially for new investors. Money is just one piece of the puzzle when it comes to fixing and flipping. There are so many other factors to consider. My advice? Partner up with an experienced flipper for a few deals to really get the hang of it before venturing out on your own. It’s the best way to learn the ins and outs of the business.

[Jeff Clifford]

refi your place, or partner with another ,

Good luck!

[Patricia Frawley]

Entering the real estate investing game with limited capital is a common challenge, but there are several strategies you can explore to overcome this hurdle. Here are some options to consider:

Leverage: Use financing options such as mortgages to leverage your existing capital. With a down payment, you can secure a mortgage to purchase properties. This is a common approach for real estate investors.

House Hacking: If you’re open to living in one of the units, consider house hacking. Purchase a multi-unit property, live in one unit, and rent out the others. This can help cover your mortgage and potentially generate additional income.

Partnering: Look for potential partners who may be interested in real estate investment. This could be friends, family, or other investors. Partnerships can provide additional capital and expertise, helping you access larger deals.

Seller Financing: Explore seller financing where the property owner acts as the lender. This can provide more flexible terms and potentially eliminate the need for a traditional mortgage.

Private Money Lenders: Private individuals or companies may offer loans for real estate investment. While the terms might be different from traditional financing, private money lenders can provide capital when you don’t qualify for conventional loans.

Creative Financing Techniques: Learn about creative financing techniques such as subject-to deals, lease options, or seller carry-back financing. These strategies can help structure deals with minimal upfront capital.

Before diving into any strategy, thoroughly research and educate yourself on the specific approach you choose. Real estate investment involves risks, and understanding the nuances of each strategy will help you make informed decisions. Best of luck!!!!