Private Money vs. Banks

[Joshua Womack]

Hello all. In all my classes of investing I have always been taught to use other people's money. I am looking to purchase a rental property in the near future and am not sure which route I should try for. I have private money that I could see being easier than going to a bank and getting a mortgage on the property. I have always heard that cash is everything and not to get a mortgage on a rental property but I just wanted to hear some opinions. Thank you all in advance. 

[Mindy Jensen]

@Joshua WomackI don't know how hot your market is, but mine is red-hot right now. Cash is pretty much the winner on any deal, so if you have the opportunity to use cash, that might be the difference between getting the deal and not.

You can always refinance out of the private loan into a traditional mortgage later.