How to get into hard money lending?

Question

Hi everyone , I’m really interested in learning about the hard money lending business. Does anyone have any advice in how to learn the business of of anyone taking on interns /volunteers ? Or how to get started ?

Thanks I’m advan

Jay Hinrichs · Answer

I went to the AAPL one in Vegas that was pretty good not necessarily for the AAPL portion it was very low level rudimentary for me personally.. but there were a bunch of vendors there HML from all over the country along with crowd funders etc.. that networking was pretty good I thought.  This is where you could meet a lender that you can broker too without your own funds.. although no experience maybe a little tough.. could be good to get a job with one first learn the ropes then move on to your own brokerage.

Dan Barli · Answer

Hi @Daniela Reyes when you say you are looking to learn the HML business, what do you mean? Are you looking to find out who the HML's are in your area? Or you want to be a hard money lender? Do you want to work for a HML?

I'd agree to go to a local REIA and find out more as well.

Jay Hinrichs · Answer

TN requires a license to lend.. there could be some carve outs  most states have small lender carve outs like 3 in one year.. but if you hold yourself out as any kind of lender some states require licenses..  OR  CA  NV TN are just a few.

Adam Schneider · Answer

@Daniela Reyes In addition to your local REIA, check out groups like AAPL (American Association of Private Lenders) and go to lending conferences (AAPL has one coming up in Vegas, PitBull does some...).

Heath Ryans · Answer

@Daniela Reyes Welcome to BP.

So your interested in lending. Im going to make an assumption and assume that you mean you want to get into private money lending. Hard money lenders are typically companies/seasoned lenders who do mass quantities with steeper rates and lend to strangers. Private money is lending to people you know.

My advice is to go to a local REI meetup. Mention what your looking to do, talk to people who are doing it. As well as other investors who seem to perk up at the idea of another lender. We have a member in our meetup who has done this exact same thing. She has came to our meetings, ask questions, and networked. We all know her as a potential lender and shes now ready to lend.

Beyond that, get rock solid contracts and learn how to analyze a deal. You need to understand numbers as they are presented to you.

How to get into hard money lending?

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