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Updated almost 4 years ago on . Most recent reply

User Stats

23
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2
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Gabriel Guerrero
  • Real Estate Agent
2
Votes |
23
Posts

How do I Private Lend?

Gabriel Guerrero
  • Real Estate Agent
Posted

Hi everyone, I'm interested in lending some money to fix and flippers and possibly other types of investors. Only thing is, I don't know how and I don't have much to lend. As of now I'm only comfortable lending around 5k. I figured that may be good for someone who has a small rehab or someone who recently ran into an unplanned problem during a rehab. 

How would I go about finding someone and how do I make it legit?

Please if anyone is experienced with this any advice would be much appreciated. 

Thank you!

Most Popular Reply

User Stats

5,116
Posts
5,172
Votes
Kyle J.
  • Rental Property Investor
  • Northern, CA
5,172
Votes |
5,116
Posts
Kyle J.
  • Rental Property Investor
  • Northern, CA
Replied

@Gabriel Guerrero Save your money. Even loaning money in first position comes with risks. But with only $5k to loan out, you’ll be forced to only loan in junior lien positions. And doing that, combined with no lending experience, and loaning to borrowers who have already “run into an unplanned problem during a rehab”, is a sure-fire way to lose your money. 

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