Lima does compete with Black Rock and 3 others that do similar business  but they are not the most cost effective.As for the numbers...You buy a house for  100K with hardmoney in Tacoma .....maybe you put 20K down so you owe 80K to a ((SHORT TERM 12 month)) hard money lender as  all the windows are busted and it is a mess and at that point only worth the 100K you paid.....but in a great neighborhood of 200K homes.You spend 30K on the Repairs......If you hold it 90 days....and you are now in title ....After you fix it ...It is then re-appraised........once it all pretty and has a tenant in ....for a new fixed 30 year loan based on it FINISHED A.R.V. value...Your new REFINANCE  loan is based on 75=80% of the  ARV finished value.....which I hope is about now worth 160,000 - 170,000.ooSo 75% of the  new160,000  = $120,000 new loan amount.....which pays off your hard money loan of 80K and the 30,ooo repairs your put in ,....and almost all your down payment.You have now recovered all your costs in  place....and have a fixed loan covered by the rents...Wash Spin Rinse Repeat.....As for the Rates..we are both a FNMA lender and commercial lender....so these are accurate..1) FNMA owns 80% of all residential mortgage paper in this country and 30 year fixed - Full Doc loans at 3.75% to 4.25% => Credit Union and Residential A paper lenders VA -FHA -USDA etc2) Commercial loans - 30 year am 5,7, or 10 year term = full doc loans price with good credit price at 4.375% - 5.5% ==> Think community banks and big 5  - WFC  - BOA - Chase etc and local Portfolio S+L's and some Commercial Credit Unions....3) Stated Income Hedge funds....30 year fixed - No Doc  or  Low Doc with Great Scores ===>  loans price at 5.75%  - 7.5% ...think Black Rock, Velocity,  Lima,  RNC and others4) Hard Money = short term to 3 years....prices at 8% - 10% There are no hedge funds or finance companies like Velocity or Lima or RNC or  Blackrock that will make you a  loan < under 6% as they need the 300 basis point spread over the 10 year commercial swap rate to cover their cost of funds...regardless of L.T.V.I get wholesale rate sheets from some 30 lenders a day/week....and that is the risk/reward spread.Hope that helps explain the process and the tiers of lenders...

You can get by with really cheap PVA primer from the big box stores, the coat does not have to be perfect, but if you don't use it, paint won't look the same on the drywall mud vs paper surface. 

Nobody buys anything in %, the do in "actual" dollars.Also, the % rules come from the "paper" market (interpret that as you want), and shouldn't be brought into the REI world.  

@Jeff Young You could try blanketing the surrounding area with postcards, flyers, or an ad in the local paper.

But in the mean time, I was thinking of ways I can build up more REI money while networking with my community of investors.I've got two ideas:1) Start a blog on the local REI scene, collect emails from investors and send out a "bird dog" newsletter that would include deals that are profitable on paper.

None had any paper on them, they hadn't been screened at all and hadn't paid a deposit.

All you do is go on to your MLS, or check your commercial real estate papers for apartments that are for sale.

I need to familiarize myself with terms and techniques specific not only to hard money, but sub-prime, prime and A-paper.

On a typical move-out/move-in job I had my "standard" tool box plus a materials box containing;the standard paint color I used for rentals-Navajo White, a bunch of paint stirring sticks (for sheetrock repair more than stirring paint), a couple of pieces of sheetrock 2' X 2', Elmer's glue, sheetrock screws, switch plates, a couple of outlets and switches, scrubbing stuff and chemicals, DOORSTOPS, light bulbs, mineral spirits and linseed oil and 000 steel wool for touching up stained wood, paper towels, TOILET PAPER, rags, paint brushes, SMALL LADDER, joint compound.Once you've gone through every room doing the "touch ups" you'll have a good idea if you need to come back with your 8' and extension ladders, paint rollers and 5 gallon can of paint and drop clothes.

Cover with dry towels until dry.CRAYON: 1.