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Updated almost 9 years ago on . Most recent reply

User Stats

26
Posts
5
Votes
Matthew Haskins
  • Rehabber
  • Andover, MN
5
Votes |
26
Posts

Lending Money for Transactional Funding

Matthew Haskins
  • Rehabber
  • Andover, MN
Posted

Hello all,

I have been working with another investor on a potential Joint Venture deal, that ended up being more slim than we would prefer. The other investor has found buyers willing to buy the deal as a wholesale from us. I would need to provide the transactional funds for a double close. I have never done transactional funding before. 

I would be loaning $125,000 for a single day. The other investor is also contributing funds in the about of $90,000 for the initial A to B purchase.

What points to be people charge? 

What fees should also be added?

What are the inherent risks of lending like this?

What process or system should I follow while making the loan? (i.e. promissory notes, final buyer funds in escrow, etc.?

  • Matthew Haskins
  • Loading replies...