How Coronavirus Crisis Affects Rehabbing & Fix & Flips
Q: Gerald, I am a new wholesaler, how will the Coronavirus affect rehabbing? Derrick, Westfield, NJ
A: During the Coronavirus crisis, private money is likely to be king at least for a while as hard money lender money sources dry up, this will certainly affect you at least indirectly as a wholesaler. Private lenders are typically individuals seeking additional income by passively investing in real estate. It’s a good idea to develop relationships with private lenders regardless of where your real estate market is–it takes time to build a relationship with a private lender–they’ll need to get comfortable with and trust you before they’ll lend their money to you–you can assuage private investors’ fears by being totally honest and upfront about your background and real estate experience and by showing them that you’ve done your homework with a thorough analysis on the real estate deal you are asking them to fund for you.
For more real estate tips and information visit my blog at geraldlucas.com.