BRRRR and Purchase Loan

[Jesse C Vaughan]

Hi folks! First post here so forgives the ignorance... I feel like I'm missing something about the purchase money loan in a BRRRR deal. Why is there a need to use cash or hard money at the time of purchase? Is a standard portfolio lender not going to give a 75% LTV loan before there is rental income?

Related, is a personal investor guarantee of either loan repayment standard or is only the LLC (with property) liable for repayment?

Other notes: 

- In California

- $300k - $500k purchase price

- Single family

- Moderate rehab