Refinancing

[Kareem Hyman]

Hello, I am reading an article entitled "How to Buy a Small Multi-Family Home" by Brandon Turner and in the article he said that he was purchasing a muilti family home for 90k  In order to finance the house he used a private money lender to give him the entire 90k which he had to pay back in a year. His plan was to refinance the home through the bank by doing this he said his monthly payments will drop significantly and. I am confused about why he would use a private money lender and the refinance the home. Is that to pay the private money lender back? and if that is the case why didn't he just get the loan from the bank in the first place and not use the private money lender.

https://www.biggerpockets.com/renewsblog/2013/04/09/how-to-buy-a-small-multifamily-property/