Property analysis- hard money

[Alon A.]

Hey guys 

I have people I know telling me that they invest on property  with 100% on loan and 100% on rehab. 

That they recycle money and just pay expanses of hard money lender. 
I wanted to understand how it’s possible 

For example for the Texas property, I purchased in 270K

ARV is 430K

I got 75% ARV from hard money lender for rental purposes , so it’s 322K. 

71K remodel cost. (100% financed)

If the 322K it’s more then 270K , it means its 100% financed ?

In HUD the cash to close of this property was 44K.

I wonder how people do it with less then that , they told me only few thousands expanses and not 40K 

can you explain me what it means 100% finances and how I need to calculate it , I want to use my money better way  

[Chris Seveney]

@Alon Attias

1. Rarely if ever does that happen

2. Real estate investors are like fisherman and love to tell these glorious tales of their deals which only exist in their head. It’s easy to make up stuff when there is no way to verify it

Next time someone says that say “hey can you send me a copy of the hud so I can learn and see the costs I may incur”