REI Wealth Magazine Featuring Paul Finck | Page 41
A lot of
people who
would be
interested in
becoming
private lenders
and earning a
higher interest
rate on their
hard earned
money don’t
even know the
opportunity
exists until you
tell them about
it. Other ways
to locate
private lenders
would be
through your
local real
estate clubs,
Realtors, or
mortgage
brokers. These
folks usually
work with or
know of
private lenders
who are
looking to
fund deals. At
your local real
estate club, there are probably lenders there just waiting to loan you money for your deals. These are the folks who are
savvy enough to know where to find investors who need money to fund deals. Very often Realtors work with investors
who have money to lend and will match them with a client who is an investor, who is trying to purchase a really great
deal. This is a winwin for everyone involved. You also need to tell everyone you know or meet what you do for a
living and that you use private lenders to fund your deals. You just don’t know who has money available to lend to you.
I actually got a new private lender for my business while having my nails done at a local nail salon so don’t be afraid to
talk about what you do and how you can help folks get a better interest rate on their money.
There are many advantages to using private lenders in your business. The main advantage is the ability to be in total
control of your deals. Your money will be available to you almost immediately and at the terms you agree on with your
lender. There is no prepayment penalty, no points like on a regular mortgage, no downpayment, and reduced closing
costs. The money is available to you when you need it, and most lenders
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