Taking Private Money from a personal Contact

1 Reply

Hello,

I have a relatively large network of people that would likely be interested in lending money against some of my projects.

I've previously funded all of my properties with cash so I've not gone through this process before.

My lawyer is taking care of providing me with generic mortgage and note documents. Aside from that, does anyone have any references or materials that they can point to for further research? I'd like to create a loan program that is very professional, but I'm having trouble finding many resources to do so.

Any inputs would be helpful.

-Matt Hicks

I'm not sure what "further research" you need to do. Your track record of projects, payments, etc., is the most critical factor. Basically, a PL wants to have comfort in your ability to do what you say you will do, and have protection (a note, D-T, lender's insurance, hazard insurance, etc.) if your project catches fire, you die or are incapacitated, etc.