Interest rate for loaning money to a house flipper

[George Hack]

Trying to figure the interest rate I should receive for loaning money to a house flipper, does 10% to 12% sound correct.

[John Thedford]

Warning: everyone wants your money. Do you know these people? Do they have a track record and references? What LTV are they seeking? 10,12,15% sound great IF you get paid. I have been doing private lending since 2012. Most have been great, but there have been a few problem borrowers. Thanks @Jay Hinrichs for his suggestions on underwriting loans: the 3 C's.
Creditworthiness of the borrower
Capacity of the borrower to repay the loan
Collateral

I am in the process of vetting a new borrower this week. I believe that following his underwriting guidelines will help minimize problems. Last but not least, make sure as you move into private lending that you are careful to avoid conflicts with Dodd-Frank.