How to find cash lenders and partners.

Question

Hi all I am a new investor I already own my first property for over a year now and it's going decent. I am not looking to buy my second property soon. I make decent money, over 100k from my W2 and have a total of about 100k in cash reserves across all my cash and liquid assets. I want to buy a new property but even with a good deal it still takes about 40k out of pocket even if it's not an expensive house. How do people scale faster? Using my own cash it would still take a very long time to scale. Are there private lenders that people use or hard money lenders? Based on my situation is it best to just keep working and using my cash? What are your experiences with finding lenders or cash? Also if anyone is down to be a partner when it comes to supplying cas for deals I am also open to to that conversation.

Jimmy Rojas · Answer

I take it your trying to purchase a multi unit real estate property or/and live in a place that real estate is high, as single family homes you dont need $40k at closing out of pocket, the 100k from your job is that after taxes and deductions?

Vijay Friedman · Answer

@Brandon Morgan

Since you already own one property and have cash reserves, I’d look at your next move based on the strategy first: turnkey rental, value-add rental, or flip.

If the next property will be held as a rental, DSCR financing may help you scale without relying heavily on W2 income. If it needs rehab, then bridge or hard money could make sense, but only if the ARV, rehab budget, and exit plan are clear. I’d also look at whether your current property has usable equity before bringing in partners.

Brandon Morgan · Answer

@Jay Toluganti  joining a local real estate REIA makes perfect sense! My goal is to acquire multiple turnkey or small renovation properties so I can rent out multiple units at the same time. Plus gain equity over time of course

Jonathan Chan · Answer

I was in a similar boat. I ended up going the BRRRR route but I was trying to buy LTR to get out of my day job. It really depends on what your goals are. If your goal is to build wealth, but stay at your job, slow is smooth and smooth is fast. If your goal is to get out of your day job, then figure out a way to build active income first, then use real estate as a wealth builder.

Brandon Morgan · Answer

@Matthew Bernal  my first property is a cash flow play. I have 2 properties now currently. 3 units total. They make cash flow. It's outside of the Scranton PA area so appreciation is a bit slower but cash flow is decent. My goal is to acquire multiple turnkey or small renovation properties so I can rent out multiple units at the same time. Plus gain equity over time of course.

Brandon Morgan · Answer

@Jonathan Chan . My goal is to acquire multiple turnkey or small renovation properties so I can rent out multiple units at the same time. Plus gain equity over time of course. I be don't plan on quitting my day job anytime soon but acquiring assets, cash flow and doing my current day job all together would create serious wealth momentum.

Matthew Bernal · Answer

You are actually in a pretty common spot after the first deal. In my experience, a lot of investors realize pretty quickly that relying only on their own cash can slow things down.

Many people start scaling by mixing strategies — things like using equity from existing properties, investor-focused loans (like DSCR), or occasionally partnering with someone who brings capital while they handle the deal and operations.

Another approach I have seen work well is buying properties where you can add value and refinance later, which helps recycle some of your initial capital into the next deal.

With your income and reserves, you’re already in a solid position. The bigger shift is usually figuring out the right financing or deal structure so each property doesn’t require the full $40k out of pocket every time.

Is your first property mostly a cash flow play, or are you seeing more appreciation so far?