But If I'm paying 10% apr then it is $10,000 for a year use of the money. if it is just the time used then it is $833 per month( 10,000/ 12 mns.) unless of course it is compounded monthly, then the amount would be a little more each subsequent month. can anyone explain how a typical hard money loan works?

In addition, most residential mortgages (all the fixed ones) compound interest semi-annually.

I continuously run a CAGR (compound annual growth rate calc) including appreciation (my estimates, some validated by refi cash out appraisals). 8.

Your situation is compounded by you lack of presence to oversee daily operations.

Sure, I suppose you could boast that you will be getting a cap rate of 25% in ten years time, vs the 8% you might get with those SAME invested dollars this year, but that's not too different from any compound rate that you will get with interest upon interest, is it?

With my limited RE experience, it is my best way to give back to this great community.I am currently in the process of refinancing my home to pull out equity and purchase multiple rental properties (duplex to quadplex) and compound the earnings into more properties.  

Learn, understand, and apply the power of compounding to that 100k, and you should be able to achieve your goal much faster than you think.Rule #1:  Never spend any of that 100k...use it many times over, in a short period of time, but NEVER spend it.  

I had a bit similar circumstance: for me, I used compounding interest theory to build my portfolio.

I've got a waiting list of people that are tired of staying in a motel that want to move into a furnished house of mine for these reasons:Fully stocked traditional kitchen you would find in a house.Laundry room with a washer and dryer.Living room with cable/wifi/streaming HDTV.Your own bedroom with tasteful paintings of T/A.An outdoor grill.It costs less than a motel room.You can also shoot a bow/arrow or pellet gun in the back yard. 

With a loan, you don't have to pay taxes on it since you're borrowing the funds.In either case, pulling your money out would reduce your long term compound effect of being in the stock market tax free until you retire.