The way I structured the purchase is conventional loan, 20% down.

Quote from @Alycia Scantland: Hi everyone,I’m hoping to get advice from anyone experienced with hard-money lending, distressed projects, or investor defaults.In December 2023, I invested a $80k with a small local investment group for two fix-and-flip projects.I was given a promissory note stating a 3 month turnaround, a 15% fixed return, and additional compensation if the project ran late.They finally contacted me in October 2024 saying the projects had been mismanaged and they were unable to sell both of the properties as planned.They asked me to release my original liens so they could attempt a short sale, and moved my liens onto a different property in Wheat Ridge, near the Denver market for two $49k liens (original loan plus interest incurred) One month later, they informed me they had not started and would not be finishing the project, were considering bankruptcy, and that the property would likely go into foreclosure.They told me the only way I could recover my investment was to take over the project myself.In December 2024, before I ever agreed, they recorded a quitclaim deed transferring the property to me and listed the sale amount as $98k, which was my lien amount on the property, though I never agreed to release those.

It appraised at $460k and found to generate around $50k in STR income - that threw everything out the window and basically had to rewrite the entire loan. 

If it’s less than say $250k, I recommend participating in a few fractional loans.

By way of introduction, I’m Ebonie Beaco, NMLS #2389954 — Mortgage Loan Originator, Real Estate Investor, and Business Consultant with 25+ years of experience in real estate, marketing, credit strategy, and helping both new and seasoned investors scale their portfolios.

@Ana Booze If you’re financing a multifamily property, the loan type depends on the size.

I'm working with a broker who assured me that he could find a 30-year fixed rate DSCR loan at 20% down and around 7% interest.

Another thought - are you considering an FHA loan on the next one?

Look at private money or hard money for the short term loan on a property in need of rehab.You want to be an RE investor, but the property you currently own has zero leverage.  

Many lenders are making 80% to 90% LTV plus 100% rehab loans, and some will work with newbies.