All Forum Posts by: Odie Ayaga

Hi @Marcus Wright. Unfortunately, you'd probably need closer to 3 times that for starters to use a hard money lender so you'll need some other options such as private lending to get there.

What is it you're looking for a hard money lender for? It's your end buyer who will need one

You should have at least $30K on hand to work with a hard money lender

Hi @Carlos Feliciano II and welcome to BP! Sounds like an awesome idea! Keep us posted!

What kind of advice are you looking for? Advice on what to expect working with an HML or advice on the property?

Every HML I've encountered works with new investors. While this tightened at the outset of the pandemic, most are now back to normal. While you can get better terms with more experience you can still likely get a loan

It's not about wise or not it's about knowing what you're doing and knowing your numbers. Many new investors come up short on either or both, but there's nothing inherently wrong with it.

Your phrasing is a bit unclear. You typically start making payments to any lender the month after you close. Money hard lenders have long-term 30 yr products as well as the typical short term products.They aren't treated the same and are completely different. If you purchase a property with a short term loan with the intent of refinancing into a long term loan you should ensure upfront that you can.

You aren't likely to find an institutional lender that will lend 30K or be in second position. could you clarify what you mean when you say "I am not looking to refinance as I am closing within the next 3 weeks or so and there are harsh penalties for early payoff of the loan"? What loan would you be paying penalties on since you haven't purchased yet?

Many though won't go to those lengths until you're at least under contract though

This is what hard money lender call a Lop-sided deal where the repair cost is much more than the purchase price. There are lenders out there that will do it...you honestly might be better off if the purchase price were 65K than 50K. Your experience level will likely be a considerable factor as well as your liquidity. Your terms also will be affected negatively.