You can borrow money for a few days to fund a double closing.

The last few years we have closed many HELOC's and HELOAN's, as it made more sense for borrower not to refinance out of their low rate 30 year fixed loan.Everyone is using the HELOC for different purposes.

Hey everyone, if anyone has any questions or wants to know the best practices for borrowing/lending out money, let's chat below! 

Here's a scenario I reviewed a couple of months ago where the borrower purchased a deal at $200,000 but only had an ARV of $280,000.

I know of a company that went through a broker like this and the broker connected them with someone That ended up having a pretty bad history and the borrower wired millions after paperwork was signed for “prepaid interest reserve” and now, while they got the judgment, the money was sent overseas and it’s most likely long gone.

We sold one property this year where we wrapped the 4% mortgage note into a 10% note and as a result are enjoying a 17% annual ROI for a minimum of 2 years and possibly as long as 10 years if the borrower/buyer does not pay us off early.After 40+ years of real estate investing, in many different markets across the country during many different economic climates, both in residential and (primarily) in commercial, I can tell you that hard and fast “rules” should be constantly evaluated to see if they are limiting the opportunity to “jump start” your wealth building.   

I’m a huge believer in never using your own money to buy and I’ve never borrowed from a bank to buy a house except my own residence.

Now what will you tell the bank when they ask you if the 20% is borrower money?

We paid half down and borrowed the other half with a 2-year short-term loan. 

I was recently quoted as low as the high 5%'s on a FHA loan for a new primary property..these are attractive borrowing costs in comparison to the comparable costs of renting a similar property profile.