Looking for Private Lender in Atlanta

[Kris Compton]

I am looking for a private lender in Atlanta to lend on an in town rental property. price $66,00 + $10,000 in repairs.

Rent is $800 per month; it is vacant right now.

It is a 3/1 near CDC in Decatur in the 30033 zip code.

[Jon Holdman]

@Kris Compton almost everyone who advertises or who responds to requests for loans is actually going to be a hard money lender, even if they call themselves "private money." True private money is someone you know personally and who is willing to invest in you. You meet those people in day to day life. Talk to everyone you know and everyone you meet about what you do. Eventually, you will bump into folks like this.

That said, for buy and hold, bank financing is always your cheapest alternative. Even if you have to go with a portfolio lender and 15 year amortization you're probably going to be better off than a private money lender wanting 8-9% with a relatively short balloon.

OTOH, if you have a rich relative who has a bunch of cash sitting in 2% bank CD's, you might get them to accept a 6% return for a long term real estate loan to you. The downside for them, however, is two fold. One is that this is a riskier investment. As long as they're below the FDIC limits they will always get back them money from a CD. You can't say that about a mortgage. Second is that its illiquid. For a penalty they can get their money from a CD today. If they desparately need money, you may be hard pressed to get it back to them at all. And, at best, you're looking at a month or two to do a refi. So, I would only go down this road if I knew they were lending me less than 5-10% of their available cash and I knew they would have other ways to get cash if they needed it.