Looking for creative real estate financing strategies to fund your next investment property or to purchase your dream home when you lack capital or even have a low credit score. You may want to learn more about these uncommon or unique ways individuals can purchase land or properties.
- Seller Financing – Biggest benefit is that you don’t have to work with a lender. You and the seller establish payback and interest rate terms.
- Rent to Own – “Lease option to buy” is where the buyer is allowed to live in the property as a tenant with an option to buy in the future. Usually collateral or “option money” is due upfront and sometimes a portion of the rent payment can go toward the future down payment.
- Hard Money – Obtained from a private business or individual with less stringent requirements with shorter terms and higher interest rates.
- Private Money – Similar to hard money but usually come from a friend, family member, neighbor etc.
- Crowdfunding – Allows buyers to use money from the public through websites that are designed specifically for real estate such as Hatch My House.
Here are some real estate financing loans you could also consider:
- IRA Loans – Tap into your retirement account.
- FHA Loans – Down payments as low as 3.5% with credit scores 580 and above.
- Home Equity Loans and Lines of Credit – Do you have equity in another property, you can receive up to 90% of the value in your home as a loan.
Anyone can buy a home or invest in real estate by implementing any or a mix of these creative real estate financing strategies. Contact or visit RE/MAX Platinum Realty of Florida for additional information. #remaxplatinumrealtyofflorida #sarasotarealestate
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