How does hard money work?

[Hudson Walker]

My strategy is to start a rental property empire by doing the BRRRR strategy.

So I have been doing some research about private financing and had a few questions about hard money lending.

I know typically hard money is like any loan and they usually charge about 10-15% interest. However, I really don’t understand the points behind the loan itself.

Also, when talking to a conversation bank about refinancing they said you would have to hold any money given to you up to 2 months or that lender would have to be on the dead. Is this correct with any private lending you get?