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Updated over 5 years ago,
Hard money lending and holding costs
So when buying property using a hard money lender, while doing the rehab portion of the BRRRR method you obviously have holding costs that you have to pay while in the rehabbing portion. My question is how do you cover those holding costs? Is that something you would have to pay out of your own pocket (since there will be no tenant in there yet) or is it better to try to request a little more from a Hard money lender to cover the holding cost for the 6 month or so until you can get a tenant inside?
I’m trying to start with not much money saved up and already paying my own bills ,like everyone else, so I’m just trying to factor in how i would go about paying the holding costs for the first few months on top of my everyday bills working my 9 to 5?