First post / First home / paying cash w/ cash loan?

[Marshall McDonald]

Hi Friends,

There's no way to express my gratitude for the last year of lurking / info gathering you've made possible.

First post. Moving forward on first property. Very excited.

I have a financing question. This is all still hypothetical, but we *are* in contract, contingent on happy inspection, all that. Few specs:

1) Off market buy. Buyer wants $60k cash. Claims they have another offer from neighbor w/ financing on table. They're not interested in financing.

2) Partner / investor #2 (not me) is paying 30k/50% out of pocket.

3) I'm spending $5k out of pocket and getting a pre-approved cash loan from Amex @ 7-8% for the other 25k. That's $30k total from me. This last part is where I wonder whether or not I'm doing the right thing. I could probably just cash loan the whole thing, but I know I'm pre-approved for 25k @ 7-8%.

4) We want to BRRR.

5) Buyer wants to get moved asap. Personal stuff. Spent a lot of time with them. 

Remember, still hypotehtical. Still time to revise.

I could pay $30k out of pocket with no loan, but it's steep. All savings towards my real estate endeavors, + emergency fund is about $60k. I'd like to keep available money in the bank. If things really go south, I can make the monthly payments on the 8% loan. I have a steady income coming in as well, and could live with the mistake, absolute worst case scenario. I understand this is a gamble. 

I think that's enough setup, so here are the questions:

1) Spending my own money vs. getting a pre-approved cash loan w/ a crummy interest rate that I plan to pay off as soon as we refi? Good vs bad? 

2) Big question: the goal for my first has always been multi-family, house-hack, FHA. Am I no longer eligible for that by purchasing another house w/ cash? Or is that still on that table? If not, that could serious discourage me from moving forward.

3) Do I need to worry about any seasoning period if a cash loan's involved? I don't think it applies here but what am I missing?

Maybe worth mentioning exit strategies as well:

1) Plan: BRRR ASAP. Get back original 60k-80k for house+reno, pay ourselves/loans back, hopefully another $30-50k in capital towards next one. Cashflow this one. The numbers work for now, TBD on inspection.

2) Worry less about a serious reno since we're already throwing more cash at this than I'd like, throw a fresh coat of paint on it, rent and refinance just enough to make back what we put in. This would mean setting aside a decent chunk of potential capital. Doesn't seem ideal but seems like an option if a lender would even have it as-is. And that part's outside of my comfort level. If it's previous reno was in the 1980's, will a bank laugh at me for trying to refi as-is? The correlation between condition of the house and ability to refinance: that's new territory here.
3) Wholesale it and walk. Confident we could generate $15-20k in capital. 60k is less than half of the comps in the area.

I'm already asking myself more questions than I would by having to explain it to others. 

Lay into me. Appreciate it, friends.