Seeking Advice on Private Money Lending

[Victoria OHare]

Hello all, 

I’m new to private money lending and trying to understand best practices. 

For fix & flip deals, what loan-to-value ratios and interest rates do you typically consider safe, and how do you protect yourself if a project runs into delays?

[Jaycee Greene]

Quote from @Victoria OHare:

Hello all, 

I’m new to private money lending and trying to understand best practices. 

For fix & flip deals, what loan-to-value ratios and interest rates do you typically consider safe, and how do you protect yourself if a project runs into delays?

 Hi @Victoria OHare. Most HMLs I work with for my developer clients lend up to 85% of the purchase price and up to 100% of the rehab costs, so long as the loan does not exceed 75% of the ARV.