Need Advice on Private Money Lender Paperwork

[Peter Lange]

I'm putting together a deal where we will have 75-80% conventional funding and 20-25% private money - so no money down. For context, this deal is in Texas. I have the private money lined up and committed. However, I'm looking for a template for a private money lender agreement. I checked the BP FilePlace, but nothing seemed to fit. Can anyone help point me in the right direction for a template to use for the private money side of this deal? Of course, the conventional lender doesn't know anything about the private money side of this deal. The private money funds are being seasoned in my account. Do I need to file anything with the county or state on this "second" loan? Please let me know if I need to provide any more deal clarification. 

[Bill Gulley]

Well, congratulations on admitting to mortgage fraud on the internet, Mr. Lange from Austin, Tx.  LOL You even went so far as to show the intent to defraud the lender by seasoning the funds in your account! 

When you see your attorney, be sure to point this out to them, they will need to know so they can fix what you probably screwed up. 

In Texas, the agreement you're asking for is a Note and Deed of Trust.  

You probably don't know that loans are reviewed after they are made, there can be several audits. Another deed of trust filed within a time frame of your original loan will be a red flag to investigate the use of funds. You title company probably wasn't much help as they may have seen what you were doing and weren't going to be involved with it, they may not even close that second "private money transaction". 

I usually give the benefit of the doubt to new posters, but not in this case since you spelled out your intent to season private money in your account. 

Might beat feet to your attorney, another thing you may not be aware of is that lenders, title folks, regulators, law enforcement, HUD types are all on the internet and this is a public forum! Mortgage fraud.....up to $100,000 fine and/or 10 years in a federal prison. Good luck :)