Article Summary: How Hard Money Lenders Can Eat into Your Profit

Key Points:

– House flippers and BRRRR landlords find hard money loans costly.
– High interest rates and points reduce project profits significantly.
– Landlords face additional expenses when using hard money loans.

Hot Take:

Paying high interest rates and points to hard money lenders is like letting a squirrel loose in your wallet – it nibbles away at your profits until you’re left with just loose change. Skip the hard money and keep your cash flow as smooth as a perfectly executed TikTok dance!
Original article: https://www.biggerpockets.com/blog/will-construction-loans-replace-hard-money-loans-for-investors