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Updated almost 5 years ago on . Most recent reply
Private Lending Rate
What is considered a fair rate of return for private lending? i'm planning to do a BRRRR and friends of mine are interested to invest with me, but trying to decide what is considered a reasonable rate of return.
Most Popular Reply
Originally posted by @Marcus B Hsu:
What is considered a fair rate of return for private lending? i'm planning to do a BRRRR and friends of mine are interested to invest with me, but trying to decide what is considered a reasonable rate of return.
It depends on the Investor. On the terms length and appetite for risk. Rates vary widely.
On the HM spectrum, 7.5-12% witch is short term 3-24 months. If you are financing longer I'll say 6-8%.