Have someone used hard money lenders to real property?

[Albert F.]

I have been sitting on the fence for quite a while about getting hard money to start the first investing. I keep hearing it's good way to star. My problem I'm so scared since they charge higher interest and points, and I don't know how it would work in order get any profits at the end?have someone had done successfully any investment using hardmoney lenders and want to shear the experience.

[Robert Sepulveda]

I think just about everyone on hear at one time or another has used hard money. My opinion:

Bank money is cheapest and best for investment properties to hold and rent as long as they're in good condition. If you are flipping or if you're buying a property with major defects needing repairs, you're better off buying with hard money or some type of private money.

You just have to calculate you expenses and include the more expensive interest payments and points associated with hard money and make sure it pencils out BEFORE you make your offers. If you can't make a profit, or cash flow then you walk away from the property, or you try bank or portfolio financing.