Seeking an investor who wants to make excellent returns as a lender.

[Mark Caramanna]

We are seeking an investor who is comfortable lending on quality properties and receiving excellent returns. 

A little background on my company. We own and manage approximately 130 units. Our portfolio is worth 6 million.  

We flip 6 to 8 properties per year with an average profit of $20,000 per flip.

Our flips always sell at the top of the market and consistently set records for the street, because the design and quality of finishes. Our plan is to flip 18 properties this year.

We have many lenders that love lending to us because we always perform. The reason we are seeking new lenders is paying 12 to 15% is really eroding profits. We are comfortable paying 8 to 10% with the investor being 1st position. We can offer a 6 month minimum return on investment. 

We are a proven company and would love to give the right investor an opportunity to fund deals for us and grow with us.

[Roy N.]

@Mark Caramanna 

Perhaps I misunderstood your response to @J Scott above, but it appears you are looking for a lender to put-up a minimum of 100% of acquisition, but preferably rehab costs as well, all for 8-10% interest?

Taking your 80K (with ~20K built-in value before rehab) example above, the lender would be assuming 100% of the financial risk for a return of 6400 - 8K {with the big assumption that you would pay interest for a year regardless of whether you finished in 3 or 6 mths} while you would be pocketing $20 - $40K {your stated average profit plus built-in equity of this deal}?

A great gig if you can get it, but it seems a bit like a pipe-dream to me.