Hard Money for a Newbie

[Steven Beckham]

I’ve got a solid opportunity for a fix and flip in the Chicago suburbs, but I’m having trouble figuring out the financing. I’m leaning towards hard money, since none of my friends with money seem to be interested in real estate... but I’ve talked to two hard money lenders that want something resembling 12% interest and 3 points. And they say that after two deals with them it gets cheaper.

Is there anything cheaper than this out there for a first timer? Does anybody out there have a good experience doing their first fix and flip with a hard money lender?