The average American’s retirement account falls woefully short of adequate. Maybe it’s time to start thinking outside the 401K.
Browsing: real estate lending
Finding financing is the biggest challenge for most investors. I previously wrote How to Generate Private Money, listing the 6 steps in brief. Over my next few posts I will break down each of these steps in detail; I will cover steps 3 & 4 today.
Step 3: Find a great deal, illustrate a win-win, the deal and the risk
Goal: Inform the potential investor about the deal, the risk and the opportunity
Oh have faith yea disciples of the deal; it is possible to find a lender who will loan every penny of the purchase price of a property. Just like it is possible to find a property that can be bought with no money down, but know that both endeavors can be laborious. Real estate is one of the few business games where the ante is affordable to anyone with a little gusto, and success is possible for those with a lot of diligence and perseverance.
Where to Find Private lenders
- Classifieds advertising sites such as Craigslist.com. Look under services and financials.
- Do an internet search using any search engine type in “hard money” or “private money loans” etc.
- Check your local newspaper classifieds under money to lend or finance.
- Go to your Real Estate Investment Groups meetings.
- Patrol real estate investment websites like BiggerPockets.com
- Network with other real estate investors to see who they use.
- If all else fails you can even call mortgage brokers.
Search far and wide and you’ll find a couple of good private lenders. There are no certifying bodies for private money and there is no central association. Anyone with a lot of money can essentially lend it out, so sometimes you may run into a lender who is not legitimate.