How do I find private money lenders? Are there any here?
I live in Maryland, and I'm looking to purchase a multi-unit (preferably between 2-4 units). I have a couple buildings in mind, but I'll need to raise the capital first. Not sure how to go about doing that. I've heard of private money lenders who lend out money in their IRAs or those who have a chunk of money in savings and want to earn some interest on it by lending it out to others.
How do you find those people? If you are one of those people, can you let me know? Guidance appreciated. Thank you!
@Nicole Obregon It's more or less a catch 22 where the track record attract money and to get a track record you need to have a starting capital.
In general, you can find investors at networking events. Go on Meetup site and search for REI clubs/events. Sign up and become a regular. There's also a bunch of events posted here on BP under Network/Events. In terms of IRA owners, you can try to look for local SDIRA companies and check out the events they hold or the events they show up to. They attract a lot of people to their table. Hang out by them and try to talk to folks interested in SDIRA.
Also, think of alternative sources of funding: maybe instead of debt, offer equity to your potential partner(s) or ask sellers about seller financing. Try to be creative when it comes to financing.