Lender for investment property

[Derek Hedgespeth]

Hey Guys!

I am under contract for my first duplex. Long story short, it took a tremendous amount of savings to be able to get the property. I still have decent reserves and it will cashflow for me. The original plan was to try and acquire another property in a year or so once I built up some more cash. I met the owner yesterday and we hit it off pretty well. He has another duplex on the market that cash flows even better and I believe he'd owner finance with around 25-30 percent down. Do hard money lenders just loan just for a short term? Is it possible just to borrow the down payment and then use cashflow to pay that back? Part of me wishes he'd never brought it up because I think I might stretch myself thin. Any advice from a seasoned investor is certainly welcome. Thanks for your time. 

[Kaiser J.]

Hard money lenders, whether short- or long-term, will want you to bring cash to the deal so that you have skin in the game.  It sounds like the right fit for you here would be an equity partner.  Perhaps someone who puts up the cash for the down payment while you do the majority of the work, for example.