Has anyone used Private money to fund air bnb purchase?

2 Replies

What would you see as the benefit to using private money instead of a conventional mortgage? I have several clients that purchases properties to use as short term rentals (air bnb, vrbo, ect.). Most of them are using conventional loans, and a couple just buy all cash. I have one that explored private loans, but in general those very expensive. Are you looking for additional flexibility, higher LTV, or something else?

I did not think it made sense. I just wanted to see if anyone has worked anything out with a private lender for this type of property. I would do a conventional loan on this type of property for sure unless someone had a fun creative way to finance that had more benefit using private money.