Hard Money / Line of Credit

[Matthew Roberts]

Is there a particular strategy that makes more sense if you're going to finance through Hard Money or Lines of Credit with a high interest rate? 

Current situation is possibility to get up to $200k of financing with 0% interest for the first 15 months. I'm not sure if there's a fee to start this or what the rate will be after the 15 month grace period, but assuming its high I feel like it doesn't make sense to continue with this line of credit unless you refinance into a long term loan or if you're flipping. It seems like the best strategies are BRRR, Fix & Flip, and maybe wholesale. I'm very new so any help would be appreciated. Thanks!

[Account Closed]

@Matthew Roberts a $200k LOC or HML with no points and 0% interest is a very odd duck. I don't even know where to start. Have you been offered this? By family ? or is this simply a "tell me how lender financing works" kind of thing? If this is being offered by someone other than family, I would put it into the category of "too good to be true" so run like the wind away. They may simply be trying to suck you in for $5,000 in "funding" fees and then it's another $2,000 for wiring fees etc and the email came from Nigeria and oh, by the way we need your social security number etc. Be very wary about this kind of lender.

So, if you want to name the source, we can help. Naming the source allows us to determine how "real" it is. 

Other than that, your question isn't based on any kind of *legitimate* lending I've ever seen, so I don't know how to answer.