Awaiting HELOC approval, want to use Private Money Lender

[Mario Casarez]

If you look at my previous posts, you'll see that I'm new to all this and i'm ready (or not) to look at my first property. I plan on using my HELOC to fund the 15-20% down payment required when using a Hard Money Lender (HML), the thing is I just discovered that it takes about 45 days for the HELOC to get processed.

So here's my question.  Suppose I use friends/family money (Private Money Lender) to loan me 45-65K with the condition that I will pay them from the HELOC once I get it, how much interest is considered reasonable to pay them if I pay them back in 30-45 days?  

[Dan Portka]

@Mario Casarez hey Mario - your HELOC might take 45 days to get processed up front, but once its set up you should be able to request immediate draws at any time. They'll likely give you a checkbook and/or a way to wire funds from the account. You'll only pay interest on the amount you've used from the HELOC. Think of the it like a high limit credit card.