Obtaining Initial Financing for BRRRR
Successfully completed my first house-hack / investment property this year (woohoo!) and am now educating myself on the BRRRR strategy after I've gotten my feet wet. My first property needed a new roof, water and sewer main, and extensive electrical work, so I feel pretty confident with those rockstars in my corner. My agent the first time around was great and I didn't have any issues with my lender, so I feel good about my team there as well.
The BRRRR process makes sense, and I'm ready to dive in, but I'm still hung up on the initial financing. I don't have enough equity for a HELOC, nor do I, or anybody I know, have a pile of cash to throw at a property. Hard-money seems like my only option. Is this correct? If so, do I get the loan before I find a deal, or put in an offer and then go to a hard-money lender? This seems risky, but it also seems risky to take out some monstrous 9% interest loan and have to sit on it for 2 months while deals fall through. Any advice?