What are some ways that you can borrow the money for the down payment?, and then how do you incorporate the debt and debt interest for the borrowed DP into your yield calculation?
What are some ways that you can borrow the money for the down payment, instead of saving for it?, and then how do you incorporate the debt and debt interest for the borrowed DP into your yield calculation?
[{"id": "hbeni9z", "text": "This is dangerous territory", "replies": [], "depth": 1}, {"id": "hbeusan", "text": "cash out refi, HELOC, private lenders will sometimes lend for these situations, but probably not if they dont know you.", "replies": [], "depth": 1}, {"id": "hbeuw28", "text": "Depends on the asset class and sounds like a hard money loan. As u/explorer200 said this is dangerous because you are potentially swimming with sharks. If you do not have a high degree of certainty it could be highly problematic. If however it does start to go bad, I know a bunch of distressed asset investors that would love to talk.", "replies": [{"id": "hbeymb4", "text": "You guys should exchange info", "replies": [], "depth": 2}], "depth": 1}, {"id": "hbfvx4e", "text": "Rich parents you idiot.", "replies": [{"id": "hbgalos", "text": "[duh!](https://media4.giphy.com/media/IOqcUrpsD761UjHcpE/giphy.gif?cid=5e214886dd2ip508re8ywfrhu7by7nyyvmztufobe2c8ppwj&amp;rid=giphy.gif&amp;ct=g)", "replies": [], "depth": 2}], "depth": 1}, {"id": "hbgdvin", "text": "Hard money requires downpayment.  Start with 20% down.  If proven to be credicable can be relaxed.  Loan to Valuve and Debt to income ratios must be met with anyloan. Credit score matters affecting interest rate. \n\nSome lenders offer a 25K high interest loan.", "replies": [], "depth": 1}, {"id": "hbgizw6", "text": "Tell me you shouldn\u2019t be invested without telling me you shouldn\u2019t be investing.\n\nThis is the golden problem, you can\u2019t make money without money. So how do you get money.", "replies": [{"id": "hbj2sfs", "text": "Pull yourself up by your bootstraps sailor! /S", "replies": [], "depth": 2}], "depth": 1}, {"id": "hbgtmiz", "text": "There\u2019s many metrics of return, but in short it really depends on the person u r borrowing the money from (hard money, equity partners, debt partners, IRA, &amp; etc) and what they expect as a return in the \u201cflavor they want\u201d (eg cash on cash return, IRR, MIRR, or whatever else metrics they want to hear/see). I hope this is helpful, can u share some details about your property?", "replies": [], "depth": 1}, {"id": "hbhw87e", "text": "Mom.\n\nEx wife (not a good one).\n\nStreet corners with a hand written sign (make sure you don't actually go to someone's actual house and do actual work...that fucks things up for the honest grifters).\n\nBanks.", "replies": [], "depth": 1}]