Posted by Ed Garcia on March 01, 2001 at 09:50:27:
Erik,
The rule of thumb for Hard Money is 65% LTV (loan to value). My suggestion, is for you to sit down and put together your buying parameters and then discuss them with your investors. Keep in mind that YOU MAKE YOUR MONEY ON THE BUY.
If you like, you can call me at my office next week and I go over a few tip for you on the phone. My number is (909) 944-0199
Ed Garcia
structuring a hard money loan - Posted by Erik Bergerud
Posted by Erik Bergerud on February 27, 2001 at 23:46:20:
I have just came across a guy who would like to give me cash for real estate deals, but we are both rookies in this area. He has never given a hard money loan and I have never gotten one. Say if I needed to come up with a down payment on a property that I am gonna flip… how would I structure a fair down payment loan? Or what if I wanted a 100% loan to rehab a property? How would this differ if at all? Please give me your explanations in laymen terms. Thanks, any response is greatly appreciated. Erik