Skip to content
×
PRO
Pro Members Get Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
$0
TODAY
$69.00/month when billed monthly.
$32.50/month when billed annually.
7 day free trial. Cancel anytime
Already a Pro Member? Sign in here

Join Over 3 Million Real Estate Investors

Create a free BiggerPockets account to comment, participate, and connect with over 3 million real estate investors.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
The community here is like my own little personal real estate army that I can depend upon to help me through ANY problems I come across.
Buying & Selling Real Estate
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated almost 5 years ago,

User Stats

284
Posts
137
Votes
Pat Jackson
Pro Member
  • Rental Property Investor
  • Reno, NV
137
Votes |
284
Posts

Ensuring hard money is a win-win for all involved

Pat Jackson
Pro Member
  • Rental Property Investor
  • Reno, NV
Posted

I have a single family under contract that I want to flip.  Quick numbers:

Purchase Price: 59k

ARV: 120

Rehab: 23-25k

Holding costs, commissions, closing etc (includes hard money payoff): 13k

My hard money lender will do 10%, no points, pay off due at closing (and loan 80% of purchase price).  The kicker is the funds have to be out 6 months or more to make it worth his time.   I asked if I could sell the house in less time, could I reuse the money.  He wants to be involved in the deal, which involves notarized signatures, overnighting documents, etc.  It makes sense he's in front of me, if I get hit by the beer truck he gets the house.

My question is this.  What can I do, create, or otherwise oversee where he's "protected" but not having to run around doing errands.  He values his time, and I want to keep using his funds while they're out but offer him protection.  Thoughts?

  • Pat Jackson
  • Loading replies...