What is private or hard money?

[Dan Green]

Can someone explain to me why exactly is hard money or private lending? Also can anyone who comes across a good deal get hard money?

[JR T.]

@Dan Green Hard money is non traditional commercial financing. They will charge you an outrageous interest rate, points up front etc. Total cost of credit runs 14-22% APR.

Yes, if you have a good enough deal put together you will be able to get a loan from a hard money lender. Sometimes the lender will make more than you did when the dust clears on a project. 

Incidentally a HML can be your canary-in-the-coalmine way of detecting a bad deal. You can contact most HMLs and they will underwrite your proposed deal. You're under no obligation to take the financing if they ultimately offer it to you. If they can't get the deal done you now know there is not even enough money in it for the HML to realistically expect recovery of their interest and you should let the transaction go.