Creative Ways of Funding Home Purchases
One of America’s most successful real estate investors, Nick Vertucci guides NV Real Estate Academy and provides a full range of seminars centered on his Fortunes in Flipping system. Nick Vertucci details specific strategies for purchasing investment homes at less than market value. He also provides coaching on creative financing techniques that help build initial investment capital. One approach involves employing lenders who arrange short-term loans at a high interest rate. This enables a quick ‘fix and flip” strategy. The significant amounts of interest paid are outweighed by the quick, substantial profits turned. Another strategy involves real estate focused “low-doc” and “no-doc” loans, which require minimal credit and income information. Be aware that these loans typically only cover 70 percent to 80 percent of the entire purchase price. This means that a significant amount of cash is required. Ideally, this comes from personal savings or loans from friends and family, but credit cards or retirement funds may be necessary.