Deciding Between Hard Money Loan and Conventional Loan: Need Guidance

[Emmanuel Ola]

I found a good deal that I really like for $160K, which has excellent cash flow potential. Initially, I was planning for a quick sale and contacted my private money lender for a hard money loan. My plan was to put down 35% while she would cover the remaining 65%.

However, the seller has requested to be in escrow for 45-60 days so that he can complete a 1031 exchange and use the proceeds to buy another house within that period. Given this new information, I'm considering whether it might make more sense to opt for a conventional loan instead of a hard money loan, due to the lower interest rates associated with conventional loans. Alternatively, I could stick with the hard money loan and refinance into a conventional loan later.

I would appreciate any suggestions or advice on this decision.