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Updated over 3 years ago,
Need a 100% finance hard money lender. Is that realistic?
Hello everyone. I am a beginner, wannabe real estate investor. I have lots of education but have yet to do my very first deal. Needless to say I am very much wet behind the ears and do not know what I am doing beyond reading REI books. I also do not have any capital of my own to invest nor do I know of anyone in my social circle who has the monies I need to do my first fix-and-flip. I was thinking of partnering with a hard money lender but since I have no capital of my own I don't have the resources to pay for the HML in the interim between acquiring a property and finally selling it at closing. Practically speaking, I will need a financier who will front the monies I need to do the fix-and-flip 100%. In exchange I will do all the grunt work and upon sale of the property repay the loan plus 10% interest plus majority of the profits from the sale. All I ask is to get at least $5k from the whole deal no questions asked. I am willing to do this so I can gain the practical experience, build some capital and establish my LLC. In other words, I just want to get started. However, I am hard pressed to believe that anyone would be willing to do it. But then again I don't know if that is in fact the case as I have yet to foray into the real world of REI. I do recognize this is a huge risk for the hard money lender. So, is what I am hoping to be able to do realistic at all? If not, how then can I get started? I have lots of student loans from graduate school and have no DTI ratio to leverage. Financially I have no "skin in the game" that I can bring to the table except my work ethic, intelligence and integrity of character. Any information or guidance you can give me will be greatly appreciated.