Understanding Hard Money...
So I am trying to make sure I understand hard money correctly because as a newbie if I buy right this could be of use... I think... So here is my thinking please tell me where I am wrong.
If I were to find a HML I could get a loan from them and buy a house with "cash". After that if money is left over fix up the house if you can a bit. HML usually run for 70% LTV and are pretty heafty in intrest so you dont want them long term. So after this all happens you cash out refi and pay the HML back? There might have to be seasoning of the house as well, correct? I want to buy and hold so could this strategy work to use a smaller amount of money then putting down down payments. I know I will have points but I would assume it would be much smaller than a down payment.
Please fix what is wrong with what I stated. I am just trying to clear up the understanding. Any help is very much appreciated!