I was just brought into the family business of doing private/hard money loans. I go to a lot of real estate meeting but not getting many leads. Where else or how else should I go to try to find people found flippers doing 5+ deals a year?
Start attending real estate agent meetings where agents from every brokerage tell each other of their new listings.These usually happen in the morning around 9am or so and take place at restaurants where they eat and talk together.Ask the agents about their clients to see how many investors they represent and are they looking for better financing then they already have.If your interest rates and loan qualifications are better than the competition you should get good leads soon.Offer a small finders fee for every investor they bring you that accepts your loan money.
Good idea! How do you find out about agent meetings?
Go to a local brokerage (Century 21) and talk to a few agents about your idea.One will like it and tell you where their meetings are held each week.
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@David Keefer where do you lend and what are your rates? There are alot of people, including myself, that are looking for private lenders to help us get started. You could put an ad in the marketplace or respond to posts here on BP to help you with leads. Thanks. Good luck!
Are you interested in lending to investors in the Dallas / Fort Worth area? If so, send me your rates and terms.
David are you a licensed Real Estate broker or NMLS licensed state RMLO or a commercial finance license you need one of the above to engage in private money or HML in CA.. I would make sure you have your bases covered before you advertise yourself as a lender LOL...
@Jay Hinrichs I personally do not but my uncle which company I work for does. I do not do any of the paper work, just bring people in as leads.
@David Keefer i agree that when you post on BP in the marketplace you'll find lots of people, myself included who flip and are always looking for more private lenders.
When you go to the local meetings introduce yourself and talk to anyone flipping. There are always a few people doing volume.
You could also search public records to see who and what entities are buying and selling a lot of houses. Download and sort the data and you will find every major player in your area.
@David Keefer will PM. Interested.
@Dennis Canon no problem. Here to help people get there deals done.
Come on people!!! No license, "my uncle owns the company", no phone number on profile, no picture on profile, no company name mentioned, up front "processing fee", does not know the difference between "there" and "their". If you send money and give this person bank information and your social security number you deserve to get scammed.
I hate to call people out, but if this is not a scam, it is definitely NOT legal. Red flags abound.
You should only work with someone that you know and trust with your sensitive information. Take references from someone that has worked with a HML before. Only work with proven and referenced people.
As a general guide, as a HML I don't ask for sensitive information. Yes, we take our loans through a title company to protect both parties and they surely get SOME information. Sure, I don't have a profile pic but...I have a valid email, valid phone, hold an agent's license, etc. The internet is one of the best modes for scamming people. Anyone wanting private or hard money should NEVER, in my opinion, give out any private information unless you know who you are dealing with. I also tell people NEVER to pay advance fees with the exception of an appraisal fee. If a private or hard money lender charges points, a legitimate one won't worry about waiting a week or two for points to be paid at closing.
I'm a private money lender on the East Coast with substantial experience. @David Keefer , I recommend reaching out to mortgage brokers in the areas that you are interested in lending. Brokers are obviously in regular contact with those that are seeking financing for their next property, however, when the deal falls through due to today's tough lending standards and credit requirements, they often have no secondary resource (i.e. private money) to turn to and close the deal. They're also more than happy to take your call, as they earn 1-2 points for brokering the transaction. It's a win-win for everybody, and a fast way to grow your network.
@Bronson Carpenter Do you find mortgage brokers that work mainly with investors? If so where do you seem to find them at? Thank you
Sure, there are some mortgage brokers with extensive exposure to investors doing rehabs or fix and flips, but it's difficult to find them. The idea is more that each mortgage broker's network is so large, that they're often approached by real estate investors looking for non-conventional financing and the broker has no known resource to help their client (that's where we step in). Brokers are plugged into their local market, and often know many investors themselves. Real estate agents can often give you good broker referrals, as can the community here on bigger pockets. Good Luck
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