How does hard money lending work?

[Joshua Gordon]

I am looking at buying my first house (possible rental, but most likely for my private residence). How does hard money lending work? Is it possible to buy multiple properties through the same lender? Can I have multiple hard money loans at the same time?

[Tyler Kimmel]

@Joshua Gordon I have used hard money in the past and had good experience with it. It has worked well for me tho I have only used it as short term financing (6-12 months). My rates ranged from 12% to 15% and I used it on investment properties. Most likely your payments will be all interest payments as well and most likely there is money owed on the back end of the loan if not up front. Most hard money only funds a portion of the purchase price tho the companies I work with fund at 100%. You just have to shop around.

I don't know your situation tho hard money is for short term typically tho if I found a private residence that I couldn't pass up, I would use the hard money to get into the house then try to refi back to a lower rate as soon as possible.

Hard money comes in many different forms and terms. Yes you can have multiple properties with one lender. Yes you can have multiple loans out at the same time.