The rock has been lifted, and renewed confidence in the U.S. housing market, along with positive signs of growth, are providing a prime environment for fixing and flipping homes. However, many real estate investors strapped for cash have one question: Is it possible to flip a house with no money down?
The reality is that, technically speaking, you can flip a house with no money down, but it requires a large amount of available credit. You’re not actually putting down cash, though you’re borrowing money and being charged interest for doing so.
An established company with pre-existing lines of credit and good financial history should have little trouble securing a loan to fix and flip a property. Then again, it really depends on location.
As we all know, the value of homes drastically changes from city to city, so purchasing an investment property in Detroit may cost $15,000 whereas a similar property could cost $500,000 in Los Angeles. Having the ability to flip a house with no money down is highly dependent on location.
With housing inventory shortages across the country, interest rates at record lows, and home values on the rise, now is the time for investors to make their move.
Powered by Facebook Comments