Private Money Lending Passive Returns, Zero Landlord Stres

[Ann Crosby]

Investment Info:

One of the deals that we've done.
Single-family residence private money loan investment.

Purchase price: $15,000
Cash invested: $35,000
Sale price: $88,000

Borrower : Kasagrande LLC
Amount Funded : $35,000 (100% LTC)
Exit Method : REFINANCE
Appraised Value at exit : $88,000
Rate : 5% / month
Total Completion Term : 4 Months
Profit / Month : $1,750
Profit Made By Lender : $7,000
2832 Donaldson Drive Jackson MS 39212

What made you interested in investing in this type of deal?

Gave me another opportunity to earn $7,000 and help Real Estate Investors Acquisitions

How did you find this deal and how did you negotiate it?

In connections with a group that sources discounted SFR acquisitions and Section 8 properties. The fixed returns, short timelines, and the deal secured by the asset itself.

How did you finance this deal?

Liquid Capital I had sitting in the bank

How did you add value to the deal?

By providing the capital. My capital enables the acquisition and I get paid like a lender, not a gambler.

What was the outcome?

Consistent returns on a short-term note, capital returned on schedule, and now I’m reinvesting into the next deal. The passive income has been a solid complement to my other income streams.

[Jay Hinrichs]

Quote from @Denise Supplee:

Hi @Ann Crosby. The structure makes sense and I like that you’re thinking like a lender, focused on protection first and return second. Deals like this can work really well if the borrower and exit are solid.

Be pleased you got paid off that is one of the worse areas of a very tough South Jackson Hood. I did at least 500 loans in that area back in the day and its just gone to pot over the years EXTREME caution as a lender in that area for anyone thinking that a 15k purchase in Jackson MS is a safe investment :)