I'm curious to learn how folks have structured financing when leveraging both hard money and private (family/friend) money.For example, if you have hard money that covers 80% purchase and 100% rehab, then a private (family/friend) money that covers the remaining 20% purchase as well as holding costs and initial rehab costs, what kind of rates and payment terms did you settle on for your private (family/friend) lender? 

We had our owner hire a private adjuster and they helped with the scope and provided a vendor. 

If your picking up a lipstick property with minor rehab, you could possibly use OPM/private money, or a conventional loan.

This is a three part question:1. I am a new Investor and I bought my first single family home a year ago on a loan given to me by a relative that was for the full price & some change to renovate. It was all cash a...

We would have gone back and forth with the contractor privately 3-4 times, after which we’d feel obligated to alert other potential buyers to our challenges.

So there is plenty of cushion for lenders and its a very strong deal.In the past, I have always offer my private lenders a flat 10% return.

So you can go the credit card route since you are talking about $20k here, borrow from someone (private money), or get an unsecured credit line from you bank.

My question is, would it make sense to utilize private money for the renovation? 

Deal Overview     14 Churchill St Sudbury Massachusetts (MA)Single FamilyPurchased December 28th 2020Purchased for $325,000Financing: a combination of hard money and private moneyEstimated time to completion 10 monthsRehab Budget $300,000Selling price $1,000,000How we found the deal This was a lead that was brought to us from a local agent as a pocket listing.

If you are unable to be approved for loans through these institutions, I would start reaching out to private lenders who might be interested or sourcing properties where owners might be interested in seller financing.Lastly, don't dismiss local banks and credit unions without speaking to all of the ones in your area.