Hard money clarity
Hey guys, so I'm very much green at RI and am still in he education/book reading process. I am almost done with "The Book on Flipping houses" and have two more books lined up after this on, found here on BP.
I am going to be getting into flipping but have relatively little money to start and so I was interested in hard money loans, but still have yet to fin a couple specific answers to some questions I have. If any lenders could help me clarify that would be great.
1) I understand HM loans typically come with 10%-18% interest rates but what number is that based on? Total amount? So for instance a HM loan of 350k would tack on an additional 50k in interest?
2) if the lender also covers rehab cost, let's say 50k of rehab to a 350k purchase price would the additional interest be based on just the purchase price or both figures?
Thanks to all who take the time to read my long lost!