How do I approach a hard money lender?

Question

Hi, so I have not done any real estate deals and I don’t have any real estate experience. I plan to buy a distressed single family home to BRRRR for student rentals. I’ve been studying real estate for about a year and I know the basics.

I don’t have enough money to fund a deal myself and I don’t know anyone who would give me money for a deal so I wanted to get hard money. I know hard money lenders usually lend to investors with experience, how should I approach a hard money lender so they’ll have the confidence to lend to me?

Odie Ayaga · Answer

Yes there are plenty that will lend to new investors. It's not a confidence thing, they aren't random uninformed people. You don't talk them into lending to you they tell you what the terms would be and how the process works and you decide if it works for you. If you need help finding one let me know

David M. · Answer

@Dale Graham

There should be plenty of HML who loan to investors with little to no experience.  With less experience, you just get charged a higher interest rate and won't be loaned as much (you need to put down more for the acquisition and rehab).

Good luck.

Dale Graham · Answer

@Odie Ayaga Preciate the information, I’ll start looking at some hard money lenders that fit my goal.

Dale Graham · Answer

@David M. Gotcha, I appreciate the information try to reach out to some.