Should I offer Private Money?

[Suvir B.]

Hi! I am new to real estate investing, and am looking for guidance and learning as I tread carefully into this promising area. Having worked in a corporate job for the past 15 years, I have about $100K+ saved up, and looking to invest.

I can spare the number for 3-4 months, and am debating whether I should invest in a private money transaction i.e. private financing someone's short term hard cash need (e.g. a flipper). What kind of returns can I expect for this duration, and what kind of safeguards can I put in place to protect my initial investment? Am I better off just investing in the stock market instead?

If I decide to pursue this option, how to I find qualified REIs? What due diligence should I do on them?

Lots of questions! Any thoughts are welcome.