Private lenders are so valuable in they provide the fast cash in order to get deals done.
To start attracting private lenders, establish credibility. Start doing deals that lenders can see/touch. Create a small show portfolio of properties you own or have flipped. They need to feel comfortable and secured in their position with your comany.
The flexibility factor with private lenders is also a huge advantage. Instead of hard money- private lenders can provide the funds needed to purchase a property, do repairs, and pay for holding costs. Many times you are not making monthly payments, interest rates are favorable, and you have more control over when the money is due.
Private lenders can be found first among friends, family ,and within your circle of influence.
It's good to gradually bring them into your deals, for example as a small 2nd mortgage in order to do repairs on a home or for small amount needed to cure a defaulted loan in order for you to control a house.
From here, you can move on to larger loans and bigger deals- after you have established a comfort level with your lenders.
These lenders are gold- treat them well.
To start attracting private lenders, establish credibility. Start doing deals that lenders can see/touch. Create a small show portfolio of properties you own or have flipped. They need to feel comfortable and secured in their position with your comany.
The flexibility factor with private lenders is also a huge advantage. Instead of hard money- private lenders can provide the funds needed to purchase a property, do repairs, and pay for holding costs. Many times you are not making monthly payments, interest rates are favorable, and you have more control over when the money is due.
Private lenders can be found first among friends, family ,and within your circle of influence.
It's good to gradually bring them into your deals, for example as a small 2nd mortgage in order to do repairs on a home or for small amount needed to cure a defaulted loan in order for you to control a house.
From here, you can move on to larger loans and bigger deals- after you have established a comfort level with your lenders.
These lenders are gold- treat them well.
RSS Feed
