Where to find Private Money Lenders?
Private Money Lenders are practically everywhere. There is not much trouble in finding one online or one that’s near you.
The challenge lies in finding one that can offer you the most flexible terms and best rates.
For this reason, it is very important to learn how to negotiate and how to lay down your own cards to acquire a loan that’s easily manageable based on your situation.
Individuals who are finding it hard to secure a loan from a bank turn to private lenders for their funding needs.
Private lenders require far lesser requirements compared to banks and other credit unions and they usually don’t rely much on one’s credit score.
This makes private money lenders fairly easy to locate wherever you are.
Here are some tips on finding money lenders;
This is by far the easiest and most convenient solution if you don’t know where to start. There are many private lenders that you can find online and each one offers unique terms.
It is highly suggested that you study their terms carefully to identify the one that can offer you the most competitive rate.
If you feel that you’ve found the one, try negotiating for the best terms. Explain the potentials of your proposal and try to minimize the risks involved.
There is nothing wrong about being extra conservative when applying for a loan especially if you know that you can easily keep your end of the deal.
Real Estate Companies
If you’re into real estate investing like flipping houses, try to visit MLS websites and other real estate websites.
You will most likely discover that these real estate companies have their own database of private lenders such as hard money lenders as well as private investors.
If you decide that you want to buy a property from them, they can readily connect you to various lenders that best suit your needs.
In this way, you can acquire the property of you choice and land on a good funding solution at the same time.
Your Own Network
If you want to rely on recommendations, ask your network if they know a good private lender that can offer you excellent terms and rates.
You can start asking your family members if they know anyone and then proceed to asking your friends, colleagues, other connections and acquaintances.
This can give you a wide range of options to consider. Moreover, having good connections might just help you acquire a loan term that is easier to manage with much lesser risks and more flexible terms.
If your network is too small and you don’t know anyone with funds to connect with, your next best option includes local lenders. You can look up for various resources and gather up lender’s names, phone numbers and addresses. Compare their interest rate and loan guidelines.
Post Your Deal
Alternatively, you may also try posting your deal on sites like Bigger Pockets Marketplace and LendingClub.com to see if there are any other lenders interested with your proposal.