Flipping a house with 100% OPM
Are there really private lenders out there who put up 100% of the money for a deal and only charge interest? Or lenders who will cover down payments? I see multiple mentors preaching this strategy, obviously I don’t trust mentors but I know of a local investor who does this as well and I just don’t understand how they achieve that. I have experience and could run the whole project myself including finding great deals , if that would help a lender be willing to fund the whole deal. but does anyone have experience doing this? Or know how to go about structuring a deal like that? Even if it means giving up a lot of profit to the lender
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@Riley Hinshaw
1. I do not know of any lenders that lend 100%
2. I have used a combination of private money for down payment & closing costs and a hard money loan. I paid a percentage of the profits for the private money and standard payments/payoff for the hard money loan.
This is an effective structure to start.