Private Lending question

[Joy Suh]

Ive talked to some hard money lenders and there number seems to be around 18% which approximately breaks down into about 4 points and 12-14 % rates.

The thing that I disliked the most about talking with them is the fact that they seem to be just a broker. Borrowing money from somewhere else, added a couple points and re-selling.

In the case of private money what are some guidelines that private money lenders use that would make it 'worth it' to them? Lets just say on $100k loan.

Also, what is the ideal length of time that private money lenders like to be repaid?

Thanks in advance

Joy

[Jon Holdman]

Private lenders are just that - private. They're someone you know or someone you meet that is willing to invest their money in your venture. The exact terms are whatever you and the lender agree on. High single digits seems pretty typical.

Anyone who advertises or answers an ad is not, IMHO, private money lender. Some hard money folks call them selves that. Maybe it sounds better. Maybe they justify it because in many cases the money their lending comes from individuals. But a private lender is just an individual you know personally.