My husband and I just bought a bungalow and will rent the basement while we live on the main floor.

My husband and I just bought a bungalow and will rent the basement while we live on the main floor.

@Tina Rubin as an occasional lender myself, I think the second option (new deal/property) sounds a little cleaner and more of the traditional lending scenario - if I’m understanding you correctly.Just make sure you have a good understanding of the higher rate you’ll be paying to the HML and make sure you can still make your numbers work with that higher payment amount.A hard money lender’s main concerns will be the value of the collateral relative to the loan amount (LTV), and whether your estimate of the project cost is accurate.The HML will definitely want you to bring a substantial amount to the table as a down payment to keep their LTV low (65-70% is common), so if you need to refi your current property to get those funds then that might be something you’ll need to look into.If it was me I’d probably stick with a traditional fixed loan on the first property and start out with a private/hard money loan on the second, until it’s rehabbed and stabilized, and then refi out with another bank loan.

So I know the main idea of a good BRRRR is to get a hard money or private lender that will pay all or most of the purchase and maybe the rehab along with maybe a down payment on your end to show “skin in the game”.

I guess my main question is how to insert that into the BP calculator. 

If you plan on flipping a bank loan probably doesn't make sense, and with that low of a purchase price it probably won't be able to be traditionally financed, the main way you might get a bank involved would be some form of construction loan.

Mainly you'll want to make sure that if you're going through your bank it's on your timeline in collection dates, and that the fees are not unreasonable. 

Main thing right now is that the rates are still incredibly low and so if you have non-performing assets you should sell those and ideally do a 1031 exchange into a better deal in a better market.

They are mainly refinery contractors. 

I use Zillow as my main comp runner but I do not really get much success.