Don't let your excitement and determination to get a deal funded blind you to the notorious red flags of so called Private Money Lenders.

I think the difference in the two approaches is that the one you describe is a capital investor who is not much more than a private lender (functions for JVs and flips more clearly), vs a capital investor who is an involved and long-term member-partner in establishing a portfolio together with the worker (managing partner) within an LLC for the life of a long-term investment (or two or three...). 

We financed 100% of this purchase through a private lender.

I've done several wholesale deals, fix and flip, bought tax liens, and did a private money loan.

I work for a private lending company, let's connect!

There's only a couple private letter rulings to guide on process. 

If this is something you're interested in Private Message me and I'll be happy to try to make an introduction. 

You could find a property that needs rehab and use private money to finance the deal.

I am planning on using a private lender for my 20% down payment. 

@Jasmine RussellPersonally as someone who gets vetted by investors as I partner on every deal- I always give my LLC names, portfolio website as well as active/off market listings and go through what I’ve done Anything they’re offering you’re going to want to vetIf theyre a deal -maker (gets it under contract and executes with private partners) then you want to know how they go about their process and show p&s etc they’ve signed Public tax records are a wealth of info tooHope this helps!