Rental Lending Private Lenders

[Raymond Kemp]

What's the best ways you have gained good private lenders for rentals? 

[Alex Breshears]

Hi Raymond! As a private lender that routinely lends out her own capital, I agree when others say you aren't likely going to find them via a website etc.  We are individuals who have capital to deploy as a loan. I personally like the time and geographical freedom this way of investing in real estate offers me, so I would rather collect the cash flow monthly than deal with a tenant.  I have written a book that was just published by BiggerPockets with another fantastic private lender, Beth Johnson.  This book will talk about private lending, what it is, and give a lot of action steps on HOW to do it.  We wrote it from the perspective of the lender, but active investors can also use it as a tool guide to attract private capital to your deals from your network. For example, you can talk to people about how you will protect their capital in a deal by doing X, Y, and Z.  This will also give you a good breakdown on what private lenders are looking for in deals to lend on, so it's sort of a peak behind the curtain if you will for private lending.

We also run an educational group about private lending, we have a monthly networking and open office hours for people to come discuss private lending. We'd love to have you join us at our next one.  If you order the book through the BiggerPockets website, we also included a risk mitigation video for the BP community where we talk about the 4 most common risks and the best ways to mitigate them in a loan.

https://store.biggerpockets.co...

Feel free to post any questions you have about private lending in the forums also to educate others about private lending!