I LOVE being the bank!

I LOVE being the bank!

Specialist · Bakersfield, CA · Member since 2016 · 74 posts · 35 votes

My money is in the lowest risk position, I'm the first to get paid, and I make the most money! 

I love my job! 

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Henderson, NV · Member since 2016 · 84 posts · 21 votes
10y

Chad,  A few paragraphs about how one might go about getting into private lending and the keys to succeeding in it as you have would be greatly appreciated by the BP community.

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  • Real Estate Agent · Los Angeles, CA · Member since 2016 · 5 posts · 2 votes
    10y
    Hello Chad and Kandi, I am interested in real estate investments as well. I am a realtor and general contractor who recently acquired these licenses. I'm absolutely ready to work
  • Specialist · Bakersfield, CA · Member since 2016 · 74 posts · 35 votes
    10y

    @Dennis: "How" exactly are you ready to work?

  • Bulawayo, Zimbabwe · Member since 2015 · 1k+ posts · 253 votes
    10y

    win/win

  • Real Estate Broker · Naples, FL · Member since 2013 · 9k+ posts · 6k+ votes
    10y

    Did you ever meet a poor banker? Banks make their money making loans. Private lending is an excellent route. 

  • Investor · cleveland, OH · Member since 2015 · 67 posts · 45 votes
    10y

    @Chad Brey  

    What do you mean you love being the bank? How do you find investors? How much due diligence do you do for each deal?

    Thanks

  • Rental Property Investor · atlanta ga · Member since 2014 · 31 posts · 11 votes
    10y

    Hey, yea I mean is this just a gloat post or does it have a hidden meaning for the community? what is this post all about? :)

  • Specialist · Bakersfield, CA · Member since 2016 · 74 posts · 35 votes
    10y

    I actually don't find investors, they find and come to us. We do an EXTREME amount of due diligence, otherwise we wouldn't be in business for very long. 

    No gloating, I just really love my job and wish everyone in the community knew about how much money can be made from trust deed investing/private lending... WHEN DONE CORRECTLY. 

  • Henderson, NV · Member since 2016 · 84 posts · 21 votes
    10y

    Chad,  A few paragraphs about how one might go about getting into private lending and the keys to succeeding in it as you have would be greatly appreciated by the BP community.

  • Rental Property Investor · atlanta ga · Member since 2014 · 31 posts · 11 votes
    10y

    Chad, sounds interesting to say the least and I've always wanted to know how to get into PAPER investing instead of asset investing as the pain in the *** factor on the actual ownership is ok but not optimal, my exit goal has always been paper only work as in basicly lending. As a larger SFR portfolio owner I am getting close to being able to go switch gears and try LENDING only...where to start though? how does one become a "Hard money guy" in reality? (Obviously it takes lots of capital, I guess debt could work along with cash....but I'd deff be interested in hearing the "E book" if you will of the HOW and the STEPS and the PITFALLS. :)

  • Specialist · Bakersfield, CA · Member since 2016 · 74 posts · 35 votes
    10y

    I'd love to share Obin. First and foremost,  if there was one book on this planet that I would HIGHLY recommend, it would be The Banker's Code. Start there. Second to that, our website explains it in detail (I can't give that out here without permission though).  We have a few people here on our team that started out as flippers and wholesalers. Once they got a taste of being the bank though, they could NEVER go back. 

  • Specialist · Bakersfield, CA · Member since 2016 · 74 posts · 35 votes
    10y

    Anyone here from California?

  • Real Estate Investor · Cypress, CA · Member since 2016 · 21 posts · 3 votes
    10y
    I'm from California.
  • Specialist · Bakersfield, CA · Member since 2016 · 74 posts · 35 votes
    10y

    Nice to meet you David

  • Los Angeles, CA · Member since 2016 · 16 posts · 9 votes
    10y

    Hi Chad,

    What are the current rates for private lending in Ca? One of my friends is doing a flip and I'm considering loaning some money to him.

    Thanks,

    Seiichi

  • Real Estate Investor · San Diego, CA · Member since 2016 · 9 posts · 1 vote
    10y
    Hi Chad - I have an opportunity for you to be the bank. Message me. Let's talk!
  • Los Angeles, CA · Member since 2016 · 30 posts · 11 votes
    10y

    @Chad Brey Do you work with Michael Quarles at all? It seems that you're both in the same area (Bakersfield). I'm also living in California and am looking for wholesalers and virtual wholesalers to work with as boots on the ground here in LA. 

  • Real Estate Investor · Cypress, CA · Member since 2016 · 21 posts · 3 votes
    10y
    Nice to meet you too Chad Brey !
  • Notes Investor · San Diego, CA · Member since 2012 · 109 posts · 51 votes
    10y

    @ Seiichi Ishikawa - FYI, I am a notes investor and specialized in 2nd Non-Performing Notes. I also a private money lender in San Diego. 

    For private lender in San Diego, I typically charge 12% for 2nd trust deed - which is around 20% of LTV. I believed they pay the 1st trust deed around 10% - which is 80% LTV. Which is a bit cheaper than the "hard money lender" whom typically charge 2-2.5 point and 10-12% up to 80% LTV or 60-65% ARV.

    @ Toni Staples - let me know if we can help/work each other.

    PS: I only lend money for project in San Diego. 

    Cheers,

  • Specialist · Bakersfield, CA · Member since 2016 · 74 posts · 35 votes
    10y

    Seiichi:    Rates ALL depend on the risk factor of the project. The rates I charge to my borrowers range anywhere from 10-15%. The loan terms are another story. I lend all over the USA though. In California, it depends on the area. LA - sometimes 12%. In Kern County - 9-12%,. 

    Toni:   Whad did you have in mind?

    Rotimi:   I don't know Michael Quarles. 

  • Colleen F.Pro Member
    Investor · Narragansett, RI · Member since 2013 · 8k+ posts · 4k+ votes
    10y

    How much do you think is needed to start in note investing ?  what's optimal?   and how did you start?    Does the amount differ regionally ?

  • Investor · Newark, DE · Member since 2015 · 248 posts · 178 votes
    10y

    @Colleen F. I started with less than 60k and I own 7.  The amount will differ dependent on if you are buying a performing note, non-performing note, a second position note etc. 

  • Real Estate Investor · San Diego, CA · Member since 2016 · 9 posts · 1 vote
    10y

    @Bac Nguyen - your rates are great. Are you local in San Diego? I'd love to meet you and get to know more about your experience and share our short term and long term goals.

  • Notes Investor · San Diego, CA · Member since 2012 · 109 posts · 51 votes
    10y

    Toni - yes, I lived and invest in San Diego.

    FYI, I will be at the San Diego Note Investor meeting this Thursday. So, if you have time then come by and we can chat then. Here is the link for the info ...

    http://www.meetup.com/San-Diego-Note-Investors-Mee...

    Cheers,

  • Specialist · Bakersfield, CA · Member since 2016 · 74 posts · 35 votes
    10y

    Colleen:   I would probably go with Jay's advice, since we don't particularly specialize in performing/non-performing note investing. 

  • Atlanta, GA · Member since 2015 · 61 posts · 25 votes
    10y
    Obin Olson - would you be more interested in buying paper or active lending? We have done both, I strongly prefer active lending, you get to know your people better.
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