Realtor · Willow Grove, PA · Member since 2017 · 984 posts · 643 votes
10mo
Hi @Sharlene Morales, One option is private money or hard money lenders, they can close quickly, sometimes within days. Rates are higher than conventional loans, but you can refinance later once the property is stabilized.
Seller financing is also worth exploring, especially if the current owner is motivated. Sometimes you can negotiate terms that mimic a traditional mortgage but close much faster. You could also try bridge or short-term loans paired with conventional refinancing once the property cash flows.
Realtor · Willow Grove, PA · Member since 2017 · 984 posts · 643 votes
10mo
Hi @Sharlene Morales, One option is private money or hard money lenders, they can close quickly, sometimes within days. Rates are higher than conventional loans, but you can refinance later once the property is stabilized.
Seller financing is also worth exploring, especially if the current owner is motivated. Sometimes you can negotiate terms that mimic a traditional mortgage but close much faster. You could also try bridge or short-term loans paired with conventional refinancing once the property cash flows.
Thank you both for replying :) I think I am just nervous to get going. I am considering hard money (bridge/exit quickly) just to get it going, just very intimidated to be doing this venture all alone. I am plan to call around for hard money quotes. What should I be asking them? I want to be sure to vett them beforehand.
Congrats on finding a solid opportunity! If speed is the main issue, one creative option some investors use is EMD financing to lock the deal up while keeping liquidity available for the rest of the capital stack. It can buy time to line up longer-term financing without losing the property. Happy to share more if helpful.
Investor · Member since 2020 · 164 posts · 87 votes
10mo
@Sharlene Morales, you’re feeling exactly what every investor feels the first time they step into a multifamily deal. That hesitation isn’t a sign you’re unprepared. It’s a sign you care about getting it right. Hard money can be useful, but it works best when you walk in with clarity on your numbers, your timeline, and your exit.
When you start talking with lenders, it helps to approach the conversation with genuine curiosity, you are evaluating them the same way they are evaluating you, mutual win win, keep that in mind. A few questions that go a long way are:
• What’s the real cost once you include points, fees, and any extensions
• How quickly they can close and what they need from you to keep things moving
• Whether they’re open to a seller carryback or subordinate financing
• What the exit path looks like and if they're comfortable with you refinancing into DSCR or bank debt later
• What their process is if the appraisal comes in lower than expected
Most people forget to ask these and end up stressed later. Asking early keeps you in control of the process.
And just so you know, you don’t have to carry all of this on your shoulders. Creative deals get a lot easier when you have someone to bounce ideas off, someone who’s seen these structures before, or even someone who just helps you think through the steps. We all started somewhere, and everyone gets farther with a little support.
If you’d like, feel free to message me or any of the experienced beards here. I’d be glad to take a look with you. If the deal makes sense for both of us, I’d even be open to partnering. No pressure at all. Sometimes one extra set of eyes is all it takes to turn something intimidating into something manageable. And you’re right to be cautious with hard money. Those lenders can smell uncertainty a mile away, so walking in confident and informed will save you a lot of trouble.
You’re doing the right thing by asking questions. That’s how every strong investor begins.
Thank you for that amazing response :) I appreciate your time. I apologize for the late response 😅 things have been hectic with the Christmas season. 🎄Absolutely would love to chat more and see if a potential partnership could work out.
Hi Sharlene, speed has been a big issue lately. One option some investors use is EMD financing to move faster without tying up their own cash. We offer a quick application and it's collateral-free. Happy to share details if helpful.
