Getting Properties through Private Lending

[Elijah Crew]

Hey,

So the deeper I am diving into this I am finding people using the tactic of negotiating with a private lender and getting them to pay for the property then eventually refinancing the property through a 30 yr conventional loan on it. Giving the private lender equity in the property or repaying them through the refinance. I know using leverage is a great way to get properties but I did not know it was possible to truly obtain with zero money down. So would going through private lenders to obtain properties to start off a good strategy? Or am I missing something? 

[Nick Belsky]

@Elijah Crew

100% financing is a tough one to find.  It does exist but it is usually when borrowing from an investor or family member who you know well or have done several deals with.  Getting started with zero down is even tougher.   As the others have pointed out, it is completely feasible to find 10-30% down programs, depending on the deal and your credit.  

You are correct about the refinancing too.  Many investors use hard money to get the deal and do the rehab, then either sell it for profit or refi into a lower rate 30year fixed to hold it for cash flow.

Choices, choices...

Cheers!