203(k) vs Hard Money

[Chris Allen]

Hey all, I just wanted to see what others recommend when starting out. I know that there are advantages to a 203(k) loan, including lower interest compared to hard money, and certain protections when it comes to refinancing to the borrower. I found a REO property that needs a lot of renovation, including foundation. I am pretty handy and have friends that can and want to help me with a rehab to gain experience, so I planed to save some money by doing some work on my own while living in it to save some money on hiring a contractor. If I use the 203(k) loan I can't do my own work on the money that I borrow but will have to use my own money to do my own work. What do yall think would be the best route to use for a newbie? Maybe use the 203(k) on my first property that I will live in then utilize hard money on others that I won't live in?

Sorry if this question is kinda all over the place and does not make a lot of sense. Any advice would be great!