Have you considered acquiring property but thought twice because of bad credit?
Most people consider real estate investment like house acquisition costly as it could also be one of one’s biggest purchase in life. This Real Estate investment may not cost as much but one might be thinking of getting loans and using mortgages to buy those properties.
So, how can you buy an investment property with bad credit for savvy investors in Fayetteville?
Here are 4 simple ways you can acquire investment properties even with bad credit.
Buying Investment Property With Bad Credit For Savvy Investors In Fayetteville
Strategy #1. Use your money you didn’t think you have!. Like many investors, you might not have realized that you have money. For example, a home or business equity that you can borrow against and might not need an additional loan. Or you might have money in your IRA or 401k that you can invest in. Few people realize that this is possible – but it is! If you want to know how to invest with your IRA or 401(k), just give us a call at (919) 205-9434.
Strategy #2. Use other available resources, seek for seller financing. Seller financing is when you get financing from the seller themselves. Simply pay them your monthly mortgage until the house is paid off instead of getting mortgaged through a traditional lender like a bank. The seller may not require good credit because the ownership would revert to them if you fail on your financing.
Strategy #3. Get an investor and partner with him. This is a very common strategy, find an investor with good credit and partner with them. With your skills, sweat equity, network, or some other contribution combined their good credit, you split the cashflow between you.
Strategy #4. Find a cash buyer.
A Cash buyer is someone who has right away access to cash – it could be dormant savings or maybe in one of the ways described above such as in an IRA or 401(k). This is an advanced way of buying an investment property and it’s sometimes called “wholesaling”. In wholesaling, you acquire a property, then sell the property to them without using any of your own money.
There are other ways, too, but this is a great way to invest in real estate even if you have no credit.
Summary: How To Invest With No Credit
Investing in Real Estate with no credit or having bad credit is not an issue. All you need is creativity, connect with the right people, and put deals together in different ways than you might be used to… credit is not needed.