Hard money loans can be good for doing a buy and hold that needs rehab...in some cases you can get out of the hard money loan in 2 months or so and move it into a conventional loan.

Do you flip or hold your properties?

He has verbally stated that he's open to holding the mortgages privately but hasn't sent us the property locations yet, just general areas.

My wife and I just purchased our first property in Houston TX  with our VA loan.We got very lucky and purchased a home for 50k in a neighborhood that goes from the low 90k-120klooking for some advice to what moves i can make with this current property to invest in other properties to hold and rent.

We're building a postcard campaign to market to the areas we want to hold in.

The concept of an unlimited ROI was intriguing (using a hard money loan to pay and fix a buy-and-hold property and refinance after completion with essentially no money down).My questions are:1-"What happens when loans dry up such as during a recession?"

Hi all,  I' do about three flips a year, have a portfolio of rental properties and have purchased another 2 (soon to be 3) hold properties this year.  

This way if their plans do not work out they can resale they property for cheap and get out versus sitting on holding cost for the land for many years sinking non-productive capital into a project.The house is not a benefit.

It's unlikely that you would be showing a loss on a 50-unit, unless it's in a high-demand/low-cap rate market, where you're really getting appreciation and not a lot of relative cashflow.That being said, you don't do get to "hold on to" your RE losses.

.  ;-)  On the good side, I've been considering the BRRRR strategy instead of my typical buy and hold plans.