Private lender deal structure — deal or ripoff?

[Derek Jones]

I own my primary home and have 2 single family rental properties. My goal is to have 20 rentals by 2019 but I keep losing deals to cash buyers. After listening to the Bigger Pockets podcast I asked my agent to intro me to a private local lender. He sent the following terms:

The terms will be 10% down at about 7.5%, at least 6 months before you could refi, but would carry the loan for up to 2 years. The loan fees would be 5900.00 flat, which is about the same as closing costs with a conventional lender.

Also, if there is the possibility of multiple homes you want to purchase, after the first he may consider taking 5% down. The great news is that we could close very fast.

Is this a fair offer?