Private Lending - Questions to be Prepared for

[Tyler Rowley]

If I were to sit down with a private lender to discuss investing in residential real estate deals with me, what questions should I be prepared to answer? From the basic to the sophisticated, I would like to compile a list. Thanks everyone. 

[Rick Pozos]

How are you finding your deals (hopefully from your own marketing and not from MLS like everyone else)?

What makes you different from all the other wannabe investors?

Why should I even trust you to pay me back?

If the deal goes south and I have to foreclose on you, are you going to make up the difference of what I lost?

What kind of flooring are they using in median priced homes right now?

How fast are homes selling in the area you want to buy in?

Do you have some contractors that you have worked with already?

How are we going to handle draws for construction?

Thats a few right off the top of my head. They are going to want to know that you are trustworthy, even if something bad happens.