Combining Hard / Private Money Lenders & Seller Financing for BRRR

[Jason Hatfield]

Hello BP!

I'm looking at a deal that would combine these two methods but I'm unsure if a HML or PL would do the deal as they would have the second lien position. Does anyone have experience doing this?

I would put 10% down and have the seller financing the other 90% of the purchase.  I would then be looking for the lender to cover rehab and holding costs.  The plan would be to refi as soon as its seasoned and cash out both the seller and the lender.

Is this a common strategy? How would it differ if I was assuming an FHA loan or using a Subject To deal?

As always, thank you for the help!