Developer · Atlanta, GA · Member since 2016 · 165 posts · 32 votes
I came across a good deal that will cash flow. It's a short sale thats the reason for the bargain price, I want to get this one for myself and start my rental portfolio. Anybody got any creative ways to buy?
Investor · Oklahoma City, OK · Member since 2016 · 27 posts · 5 votes
10y
If it's your first deal, I do not recommend using private money. I would use a Hard Money Lender and refinance into a conventional loan.
A hard money lender won't let you get into a bad deal. And you're not taking risks with an individual's money.
To raise private money, I wouldn't go to people with "deals". I would take people out for coffee/lunch and build a relationship with them. Tell them about what you do and if they decide to work with you, then present deals.
When you introduce yourself by "Here's my deal..." it can come off desperate. Plus you want enough time to work out the details of your lending.
Developer · Atlanta, GA · Member since 2016 · 165 posts · 32 votes
10y
@Robert Shelton thanks for the advice. So the best way to go is to get with a hard money lender put a tenant in the unit and refi in 12 months into a conventional loan? Sounds like a good idea. Appreciate the feedback.
Investor · Oklahoma City, OK · Member since 2016 · 27 posts · 5 votes
10y
Thats what I would recommend on a first deal because of inexperience. A hard money lender is expensive but they have strict criteria for lending. So that's why I would say they wont let you do a bad deal.