Buying & Selling Real Estate
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback
Updated over 4 years ago,
Conventional Financing vs. Hard Money
I am new to investing in real estate. I have a high paying career in real estate, and have been a Dave Ramsey follower for a very long time. My mindset is VERY much “don’t get debt, don’t get debt, don’t get debt.” Lol
So the strategies of buying for 1) leveraging your down payment capital to buy way more properties vs. buying one for all cash, and 2) for asset protection (to not have equity for someone to come after) makes sense to me. It’s just “new” to me.
So, my question is: is there a reason you’d choose hard money and perhaps a lower down payment to preserve capital vs (for example) a convention 25% down loan which would eat up a little capital but put a little cushion of 25% equity in between my newbie brains and a change in market conditions/tenants/etc.
Thanks team! I appreciate your kind advice, this place is the best! And, so are you!