Re: Financing with No Income - Posted by JT - IN
Posted by JT - IN on July 12, 2001 at 10:03:27:
The title to your post must be a little misleading, in that you must have income, or atleast a way to repay borrowed funds, or there will be no loan to repay. So you probably meant ot say, without a regular weekly/monthly, precdictable, stated income, vs. NO income.
Documentation is the key issue, which you should have some of this with your track record you are establishing in your 2 deals you mentioned. The profits (realized cash flow, not equity) from these RE deals and others can be used for income and equity verification, in the form of a CF and Net Worth statement. You must tell the story, on paper, about how successful you are, so that Mr. Banker can “brag you up” at their loan committee meetings. The more profitable deals you do, the more comfortable the bank will be with your success and their willingness to fork over the funds, even absent a JOB.
With that said, I would keep the JOB, as long as you can, without it getting in the way of profitable RE deals. Once you are comfortable with being able to replicate the two deals that you have done, with ease, then get out of the rat race, then go for it! I can tell you first hand, it is great. As I sit here waiting for a Banker to drop off a $ 90K check, and have no JOB!
JT - IN