Best financing/funding strategies

[Matt Wallington]

I currently have one investment property that I closed on 6 months ago. I have a tenant in the house and she pays like clockwork and it’s cashflowing nicely.

Im really wanting to expand my portfolio in 2019 and it seems my biggest hurdle at this point is finding the capital/funding for the deals. I know there are a wide number of options to find funding (traditional bank, private money, hard money, etc.), but I’m wanting to know which funding options have y’all had the most success with and why?

I spoke to my first private money lender yesterday and he was offering a 30yr fixed loan at 7.5% with a min loan amount of 75k, and a prepayment penalty for the first 3 years. Does this sound pretty normal? 

Any advice is greatly appreciated!