Loan Options for Heavy Multifamily rehab ($900k) in TX Valley

[Ethan G.]

I've got a potential deal in Rio Grande Valley that will be a heavy multifamily rehab (~$900k) on a $200k purchase price - 32 unit building.  Does anyone have recommendations on a loan broker that may be able to help on a non-recourse bridge loan or a full recourse bank loan?  I am trying to avoid hard money rates but not sure if possible given such a large rehab budget. Thanks!

[Jason Hirko]

@Ethan G. On something like this, I think the main reason you wouldn't want to use hard money is the negative connotation of them having higher rates. I know some that would structure this as a new construction loan and only charge you interest as the funds are drawn. So yes, you might pay 9% interest, but only on the money you use as you progress through the project, which in the end would probably be less dollars out of pocket than going with a bank at 6.5% on the whole loan amount. Plus, if you don't have a relationship established with a bank already, this seems like a big ask and a tough project to start with.