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Updated over 3 years ago on . Most recent reply

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4
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Naomi Alzate
1
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4
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Found loan timing of 2 years -- how to play?

Naomi Alzate
Posted

Hi all, I've received an offer for hard money (% to be discussed) but the lender has told me he likes all loans "turned around in two years." There's a lot to talk out still but I'm initially trying to determine if this would even be an option and absent a BRRR, I don't see it. For example:

Property 1

PP: 330,000

DP Loan 20%: 71,400

Rents: 2,600 total

Expenses: 2,197

Cashflow: 402/month

---

Taking as an example and cash flowing $402 a month, even if I used all cash flow to only pay off DP loan of $71,400, I'd only get to $9,648 in two years. I'm thinking I must be viewing this wrong and what are other ways to pay back a DP loan in 24 months? I imagine a BRRR. Anything else?

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