Should I Use Cash or Take a Hard Money Loan for My First Investment?

[Hadar Cohen]

Hey everyone,

My name is Hadar Cohen, and I'm a new foreign real estate investor.
I recently received a loan of $120,000 in my home country at a 6% interest rate, giving me the full amount needed to purchase a property in the U.S.

I understand that it’s common practice to finance a property by taking out an 80% loan from a hard money lender at around 11% interest. I also know that this strategy is often used to leverage available cash for multiple deals.

However, as a new investor, I've decided to focus on purchasing one property at a time and go through the learning process until I complete a refinance.
Only after receiving the funds from the bank would I consider rolling into another deal or multiple deals.

In this situation, do you think it's better to still take the 80% loan from a hard money lender, or should I use the cash I have and purchase the property outright?
If you believe I should take the loan, I would appreciate hearing why.

Thanks,
Hadar