Buy and hold investor looking for help funding a deal in NC

[Jaquette Green]

Hello everyone my name is Jay.

I’m new to real estate investing. I have been dealing with analysis paralysis for over a year and now I’m taking steps to put all this knowledge I’ve accumulated to work.

I have a duplex under contract that I’m trying to get help funding. The property already has paying tenants and I’m having it inspected to see if there’s any property problems that I may have to address.

If anyone is interested or could even offer a word of advice to a newbie all is appreciated.

Thanks,

Jay

[John Blanton]

I would try to look at it from the investors perspective. As you mentioned you are still trying to get your feet wet and learn about doing deals and the potential challenges. If someone approached you with that same ask, would you feel comfortable lending them money at a lesser rate?

Not saying you will fail or not hit your target rehab numbers, but from experience there are many variables that pop up in a project. I have blown budgets by over 20% before.

I would look at the higher rates HML are charging as an additional cost to your education. If you are eventually able to build a relationship with a private lender in the future you will have a track record to point to and hopefully it will turn into a long term relationship of lending/ rehabbing moving forward. If you were to work with them now and make a mistake on the project that could impact their desire to work with you again.

Just my two cents! Best of luck!