How to get money to invest in real estate as a first time landlord
If you are planning to get money for making investment in real estate, then there are a plethora of options available for you. Here is a list of the ways you can get money to invest in real estate:
Take a loan
One of the best methods to get money for real estate investment is through loans. If you are familiar with conventional financing, then you must be aware of the guidelines related to the loans and how it is backed by the government. It is a normal convention that the typical expectation for a down payment is often 20% of the total price of the home. However, when it comes to an investment property, this is not the case as the down payment needs to be close to at least 30%.
Fix and flip loans
Being a landlord comes with its perks, but it has several stress points as well. For some investors, flipping might seem to be an attractive option as it allows them to make profits in a lump sum. Moreover, they do not need to wait for rent at the end of every month when they have already sold the house. In such a scenario, fix and flip loans would make for an excellent choice.
This is another method that can help you get through a home equity loan. You will be able to make a long-term investment through this. Moreover, it is also possible that you can borrow around 80% of the home equity value and use it to purchase another home.
If you are still confused as to how to get money to invest in real estate, then we have the best expert advice for you. Check out our services to know more about real estate investment and how it can profit you.
Please note that the team at propertyinvestment.nz are not registered property investment advisors. This website does not constitute any property, investment or financial advice. We have established healthy and long-lasting relationships with registered advisors. Any enquiries made will be sent directly to our partners.