Hw do I find private money lenders?

[CL Ziegler]

Hi everyone, I am interested in working with private money lenders but I see that many of the sites out there are scams. Is there a serious, reliable source for PM lenders available?  (not hard money) ....Thanks in advance, (PS I hope this isn't supposed to be in the marketplace)

[Jon Holdman]

Private money -> someone you know personally.

Hard money -> someone who advertises and responds to ads.

The difference?  Hard money lenders (who do often get their money from private individuals) know what their money is worth.  Private money lenders may have some idea, but will generally be satisfied with a lower rate than a hard money lender.

In a sense, the relationship is the same as for buying a car.  You can a used car from an individual for less than you will pay for the exact same used car at a dealership.  The key difference from your perspective is the same, too.  With a dealer you go to the lot, look at their inventory, and close the deal right there.  With a private transaction, you spend weeks searching craigslist, drive all over town looking at cars, and then handle all the paperwork and money yourself.