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884: How to Use "Hard Money" to Flip Houses, BRRRR, or Buy More Deals w/Will Heaton

884: How to Use "Hard Money" to Flip Houses, BRRRR, or Buy More Deals w/Will Heaton

FromBiggerPockets Real Estate Podcast


884: How to Use "Hard Money" to Flip Houses, BRRRR, or Buy More Deals w/Will Heaton

FromBiggerPockets Real Estate Podcast

ratings:
Length:
49 minutes
Released:
Feb 1, 2024
Format:
Podcast episode

Description

You’ve heard top investors talk about “hard money loans” before, but what are they? You never walk into a bank and see a “hard money” sign, and if you aren’t outwardly searching for it, you’d probably never know hard money was a thing. That’s because hard money isn’t coming from a bank or big institution, and because of that, it has some HUGE benefits over getting a standard loan. Better loan-to-value ratios, higher lending amounts, faster funding, and the ability to get a loan on a ROUGH property are just a few. So, how do YOU find your first or next hard money loan?
We’ve got Will Heaton from Heaton Dainard Real Estate on the show to share his experience as a hard money lender and investor for the past two decades. Will has been on both sides of hard money—he’s been the lender and the borrower, but now primarily focuses on lending to OTHER investors trying to build their fix and flip businesses or real estate portfolios.
Will walks us through what hard money is, why it often beats bank loans, how much it costs, the hard money lending process from start to finish, and how to BECOME a hard money lender if you’ve got too much cash in the bank and want to make a solid return. Plus, who should and definitely should not be using hard money to invest in real estate. Having trouble getting your fix and flips or BRRRRs funded? Stick around because hard money may be your best bet. 
In This Episode We Cover:
Hard money loans explained and which investors should choose it over a bank loan
Common hard money fees, interest rates, and payoff periods 
The hard money process, from getting preapproved to paying back the loan
How to become a hard money lender yourself and put your cash to work 
The hard money “draw” process and when you can expect to get your money from a lender 
What happens if you DON’T pay back your hard money loan 
And So Much More!
Links from the Show
Find an Agent
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Ask David Your Question
Dave's BiggerPockets Profile
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Henry's BiggerPockets Profile
Henry's Instagram
Catch Dave & Henry on the "On the Market" Podcast
Hard Money Lending 101
How to Become a Hard Money Lender
Connect with Will
Heaton Dainard
Intrust Funding
Will's LinkedIn

Click here to listen to the full episode: https://www.biggerpockets.com/blog/real-estate-884
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Released:
Feb 1, 2024
Format:
Podcast episode

Titles in the series (100)

Imagine you are friends with hundreds of real estate investors and entrepreneurs. Now imagine you can grab a beer with each of them and casually chat about failures, successes, motivations, and lessons learned. That’s what The BiggerPockets Podcast delivers. Co-hosted by Brandon Turner and David Greene, this podcast provides actionable advice from investors and other real estate professionals every week. The show won’t tell you how to “get rich quick” or sell you a course, boot camp, or guru system; instead, the BiggerPockets Podcast will give you real strategies that work for real people. Start listening and join the over one million members who are learning to invest so they need Bigger Pockets! Visit biggerpockets.com, and follow Joshua Dorkin @jrdorkin, Brandon Turner @BrandonAtBP and David Greene @DavidGreene24.