lending money 70k |10% return| 6 months| 100k collateral

[Luke H.]

Hello all,

I am needing some help with an offer. Someone wants to borrow $70,000 for 6 months at a 10% interest rate. The collateral is a lot, according to the tax record the lot is worth $100,000.

Advice, suggestions, feedback.

Any help would be great,

[Tom S.]

@Luke H. Get the lot appraised to find out the FMV (not tax value which can be quite different). Even if it's worth $100k, that's still dicey. I'd take $70k in cash over a $100k lot any day. Lots aren't always the more liquid things to move in a hurry.

Good luck!

- Tom