Tips for Financing Foreclosures Properties in Downtown Minneapolis.

Note: For a free ebook that covers the Downtown Minneapolis condo investment process from begining to end click here.

You need to interview multiple brokers rather than just using the first one you come across. You should approach choosing a Downtown Minneapolis condo agent just like you would hiring an attorney, doctor or insurance agent.

It is much more difficult to get traditional financing for these properties because they are looked at a little different than a primary residence.

When working on foreclosures you may want to consider seeking a hard money lender for financing rather than a traditional mortgage broker.

Visit Bankrate.com, and you can find financing options and alternative mortgages here as well as through your real estate agent and via investment property finance firms.

Hard money lenders are willing to loan between 50 and 80% of the value of a property after repairs, whereas traditional lenders will only loan based on a property's current value.

It might be a local mortgage banker in Downtown Minneapolis that knows exactly ho to call in any investment situation.

It costs a lot more to get a hard money loan than it does to finance traditionally. Basically interest rates average about 12-16% in most cases and you might have to pay about 3 to 5 points right now.

Why would anyone pay these rates? Well, the major benefit is that they will lend more money than a traditional lender and approve more properties.

Be sure to look at the costs of hard money loans as part of the cost of doing business. To end up with the profits that you are looking for on a property, make sure to include those costs in your purchase and holding costs.

To qualify for your very first in Downtown Minneapolis condo investment loan can be difficult. Once you have an established borrowing record with a lender it will become much easier.

There is a lot of free information available to you about buying, selling or investing in Downtown Minneapolis condos. For complete information about the Downtown Minneapolis condo market including current homes for sale, property values and more please visit the most complete website online dedicated to everything Downtown Minneapolis condos. So please feel free to contact me with any of your condo questions and I will me more than glad to answer your questions. Call me on my cell at 612-735-6834 or email me at mike@mikeweiland.com.

P.S. For a free ebook that covers the Downtown Minneapolis condo investment process from begining to end click here.

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 Tags: Downtown Minneapolis condos, condos for sale in minneapolis, lofts minneapolis, minneapolis mls, minneapolis community, condo minneapolis

Article's Author

Mike Weiland
The Weiland Group of Keller Williams Realty
Minneapolis, MN

Contact Mike Weiland