Okay I've found two houses that are for sale between $10,000 and $14,000. One was a foreclosure and the other one is owned by an older man that doesn't want to mess with it anymore.
My question is that since they're both on the market for such a low price if I could use a hard money lender to assist in purchasing the properties?
Here's what I was thinking....
1. I find a hard money lender that would be willing to give me a short-term (maybe 60-90 day) loan against the property for the exact amount of the purchase price.
2. I buy the property with that from the hard money lender.
3. As soon as the property is in my name I then go to the bank and take out a loan against the property to pay the HML and for any repairs or fix-ups the house may need.
4. After that I put the house back on the market and sell it around what it is appraised for.
The only thing that's holding me up on this is I wasn't sure if I could get a loan against the house with the hard money lender's name on the property for the initial loan. Any advice would be greatly appreciated.