Now thats not to say you need to get out of real estate, you can invest passively in syndications as an example or become a private lender.

Without having the cash on hand I'm wondering if a private money loan is the only type of financing to work around this barrier.

Check out private property rights!

I have had funding groups do regular mortgages along with offering private money for renovation type loans

I don’t think this is exclusively a private lending problem.

We have some homes with docks, some shared and some private and it is not an issue. 

Friends and family is where I started looking for private money, as there was already a trust factor there.

While researching and evaluating homes, I had an idea for managing the down payment and emergencies for the first property.When I find a property with good cash flow, I could use a private money lender (PML) to cover the down payment and closing costs.

Partnering with experienced investors can provide valuable insights.5.Creative Financing:Explore creative financing options like seller financing or private lenders to secure better terms.6.Rent by the Bedroom:In high-demand areas, renting by the bedroom can boost your rental income significantly.7.Local Market Analysis:Stay updated on local market trends and network with other investors for insights and opportunities.Always analyze potential investments thoroughly and run detailed cash flow projections.

Sometimes that is listed in the Private Broker remarks online.