Hard Money Loan Workarounds and Advice

[Garrett Pettit]

Trying to use hard money in the event of a traditional mortgage not being able to reach the properties I want. But what if I partner with someone who not only knows and trusts me but also wants to partner on the deal and get their money into it as well? Could I write very favorable terms such as no due date and 0% interest, essentially able to use their money without signing them onto the property (they want to contribute but avoid liability beyond the money they put in). Is this something feasible, or is this just extra steps that something else could handle better? They aren't related, so no gift funds would work, and going through an LLC would require us to put 25% down that we don't have, so we'd like to do 3.5% down as a primary. Would this hard money loan strategy allow us to bypass these loan limits in the event of a lack of qualification for the deals we want to look at, and allow them to keep their liability off the property? I'd appreciate any insights