Hard Money Loan Options

[Brennan Bogdanovich]

Hi all,

I am looking to buy my first rental property and I'm excited, but understandably a little overwhelmed, during the process. I am looking to do the BRRRR strategy and have called about 45 community banks here in Atlanta. None are doing investment loans right now where they can also lend on construction. Hence, I am looking to a hard money loan for the whole project. After calling quite a few hard money lenders, I am seeing two prominent options. What is your opinion on the better of the two below options?

1. Will lend on 80% of property purchase + 100% of the construction fee. 

2. Will finance 100% of the whole project with 65% LTV of the ARV.

Thanks!

Brennan