Personal Loan vs. HML vs. Private Equity

[Shaun Freeman]

Hi, I am in the beginning of my real estate investing journey and am working on getting my ducks in a row (doing all the research I can before I begin).

I am wondering what the downsides using a personal loan for the BRRRR strategy (ex: I could get a $50,000 personal loan at 8.25% for 5 years; the monthly payment would be ~$1,000 a month and if paid off within 12 months the total interest would be ~$2,200 - about 4.5% interest). This seems better on paper than a hard money loan or private equity assuming my math is right... what are the downsides? Personal loans don't really come up in the podcasts I have listened to so far or in the books I have read so there must be something I am missing.

Thanks for your help!