I am investing in real estate and would like to know about private money lender
I don’t have any experience with private money lenders or real estate (although I hope to in the future)
I did find this blog that might provide you with some helpful information on the topic.
Check out the site, Bigger Pockets. Excellent resources are on there and lots of info about running your rental properties. They also have regular webinars.
Thank you I have checked them out
I got into real estate investing a few years ago. I started out by attending some RE investment club meetings. I’m not sure where you live but here in Houston there are a couple good ones called the Rich Club and the wealth club. From there I networked and found a coach to teach me the ropes. I then began doing what I learned. Networking is the best way to find private money lenders but actually anybody can be one. All they need is access to cash to loan. This can be their 401k or the like. They are not allowed to use it but they can loan it. It is all legitimate and handled by a third party and drawn up by attorneys. I’ve made this sound easy but in reality this was very difficult and stressful…flipping houses and contracts. It is nothing like the television shows and not at all as smooth as this reads. It is not true than one can do flipping without any money. It can be done on a budget but takes a long time to establish a network. I know you did not ask all this but I feel it only fair to I form anyone that Is interested in real estate to be careful and not to trust everyone. You can loose everything with one uneducated choice. I am no longer active because it was so stressful. I did acquire a rental property and made alot of acquaintances. I hope to one day find the right partner and try again. So to answer your question you can find a private money lender in your cousin boss or neighbor but you will need some help in the process or you can join an investment club make some contacts with the right people who will point you in a direction. There are actually lists of people who want to lend their money but these people dont want to lend to a novice or newbie because they are afraid you will loose their money so hook up with someone experienced and let them show you the ropes and u can use their street cred to get backers. Good luck.
These are all excellent tips, Brandi. I too live in Houston and have a single rental property now for 6 years now. I’m too exhausted (health) to look for more. I have found excellent advice on the Bigger Pockets site, and I get a list of private lenders about every 2 weeks or so from a source that I’m not sure about. They may come from my realtor. I’d also consider taking equity out of current rental for my next purchase. But, that’s for another day.