Hard money! Any investor used Dohardmoney or Private Money Goldmine

[Jay Whitfield]

Hello BP folks, anyone ever did business with (Dohardmoney) or (Private money goldmine), I think that is the name. I know they charge a fee and want you to join something. Never looked to far into it when you have to pay to get a loan.

Jay

[Ann Bellamy]

do some searches here on BP for "dohardmoney" and "privatemoneygoldmine" and "Do Hard Money" and "Private Money Goldmine"  Both have been discussed multiple times, you'll do better reading those than rehashing it again.

[Doug Smith]

Hey Ann. This is Doug Smith, founder of Private Money Goldmine. Some of the previous complaints about our site are inaccurate or have become dated. Here's the latest update on our service... 1) Scammers who pose as lenders have almost totally been removed from the site due to our recent efforts (this was a long and tedious process as they can be extremely tricky), 2) Lenders can still be difficult to reach by phone or email, and we're constantly working to improve that, 3) We don't get these lenders by scraping other sites or digging through courthouse records. These lenders answer online questionnaires indicating that they're lenders, 4) Anyone who has ever asked for a refund of their up-front fee has received it, 5) Some investors are borrowing from these lenders according to the emails or phone calls we receive from our members.

Hope that helps!

Doug

[Jeff S.]

Sorry, @Doug Smith  , your web site doesn't match your response. I used the free part of your site to find private lenders in New York City 10029, Los Angeles 90001, and randomly picked Spencer, Iowa 51301. Screen shots of my results are posted below.

Notice that almost every name identically appears in each city. In fact, Spencer, Iowa and NYC are exact. Are you suggesting that these are national private lenders or that I happened to hit three cities that they all happened to lend in? All of them? Am I good or what.

Strange too that absolutely none of these national private lenders advertise under an entity on your site. Ok, I get it, they're private (but also national?). Plus, according to your site, with 86 private lenders, and a population of 11,192 (per 2012 US Census), private lending on a per capita basis in Spencer, Iowa 51301 must be the dominant industry. Who'd have thought they'd have that much demand?

I also did a quick title search for a few of the names in CA and couldn't find a single person on a deed-of-trust or an assignment. Nor are any of the individuals I checked licensed as brokers. These must be very private national private lenders. Any idea why?

This is all rhetorical, Doug, though every shred of info I presented here is public. And, I do believe you when you say you don't scrape the web for names. Truthfully, to me it looks like you just make them up. Nor do I see anyplace on your site where a legitimate local private lender in one city (and they/we really do exist) could fill out the online questionnaire you mentioned. I used your sitemap, but perhaps you could post a link?

Really, it's always amazes me why anyone would pay for a list of dubious lender names when most credible lenders pay to get on legitimate lists themselves. These lists are free and easily obtained.

You probably don't care, but I hope you see why some are cynical when they look at sites like yours.  This is something you could easily correct.

[Jay Whitfield]

Still no good info on these to hard money lenders. I have not got one person that confirms of a loan or how the process went. Thanks Jeff for the info. I contacted Kansas City Investor Funding, I will post how that process went. I had advertising on BP.

Jay

[Doug Smith]

Hey Jeff. Thanks for your comments. I'll address them here...

When someone provides their first name and email address on Private Money Goldmine, we ask them if they're a borrower, lender or both. If they say lender or both, they're taken to a page that asks them for their name, phone, email, amount to lend, interest rate and locations where they're lending. When someone creates an account on MyHouseDeals, we ask them these same questions. You can do so on either website, and you'll see that questionnaire.

If someone indicates that they're lending nationwide, they'll show up in all zip codes that you enter into Private Money Goldmine. That's why you're seeing many lenders appear no matter the zip code.

The reason they're not listed as entities is because we don't ask for their company name in that questionnaire. However, many will end up lending out of an entity. So when you search the deed records, you're unlikely to find their name.

Our list isn't perfect because a few unscrupulous people have previously posed as lenders and tried to extort funds from borrowers. (This has largely stopped due to our recent extensive blocking efforts.) And it's not perfect because not all lenders will respond to calls or emails. And it's not perfect because building trust with local lenders face-to-face is still best.

But it's certainly not a scam website of made-up lenders as you suggest, and it does provide tremendous value through this list of lenders, private money training videos, a credibility kit template and a free thirty-minute phone consultation with an investor who is an expert at borrowing private money.

Doug

[Jeff V.]

@Jeff S. 

You mentioned "Really, it's always amazes me why anyone would pay for a list of dubious lender names when most credible lenders pay to get on legitimate lists themselves. These lists are free and easily obtained."

I would be interested in knowing how to obtain this free legitimate list, could you explain?

Thanks,

Jeff

[Jeff S.]

Hi @Jeff V.  

Here are a few legit sites, of many:

American Association of Private Lenders member directory (full disclosure: I am a member)

Private Money Lending Guide (Also among the best sites to learn about private lending)

Private Lender Link

Scotman Guide

[Jim Whittenburg]

Originally posted by @Doug Smith:

Hey Ann. This is Doug Smith, founder of Private Money Goldmine. Some of the previous complaints about our site are inaccurate or have become dated. Here's the latest update on our service... 1) Scammers who pose as lenders have almost totally been removed from the site due to our recent efforts (this was a long and tedious process as they can be extremely tricky), 2) Lenders can still be difficult to reach by phone or email, and we're constantly working to improve that, 3) We don't get these lenders by scraping other sites or digging through courthouse records. These lenders answer online questionnaires indicating that they're lenders, 4) Anyone who has ever asked for a refund of their up-front fee has received it, 5) Some investors are borrowing from these lenders according to the emails or phone calls we receive from our members.

Hope that helps!

Doug

 Doug,

I paid for your site and decided today that I needed to find a private lender for a deal. I sent the same e-mail to the first six lenders on the list and before I could send a 7th, my phone started ringing. I spoke to three potential lenders who were eager to lend me $80,000 with very little information from me. All three wanted a fee up front and refused to do the loan without it. One was $450, another $550, and the last $1,050. They all had middle east accents and horrible cell phone connections. The connections were all so bad that I gave up and told them to just communicate via e-mail. I then asked for referrals. Every referral they sent me spoke with a middle eastern accent. One was even bold enough to send the loan application on a legitimate company's fax letterhead. I called that company and no one heard of the guy and they do not do private money deals. You have to weed out these scam artists a little harder, Doug. I wasted a lot of time today.

Jim

[Doug Smith]

You're right, Jim. The scammers are back in full force. We noticed a huge pickup in this type of suspicious activity right after the new year. It was almost like it was their new year's resolution to scam as many people as possible on our site. Last week and this week, we have refocused all of our efforts on taking further measures to block these bad actors. After several long meetings and a lot of digging through data, we've created a list of 7 additional things (on top of about 10 that we already have in place) we'll be doing to block them. These 7 new ways of blocking them are all very solid, so we're very optimistic. We're working on #4 right now and will be rolling that and the remainder over the next few days. As a result, the list should be cleaned up to a very large degree within the next few days. Our apologies for your troubles. You're entitled to a full refund should you want it. 

Sincerely,

Doug

[Leon Bingham]

thanks @JeffS excellent resources

[Jay Hinrichs]

@Doug Smith 

@Ann Bellamy 

Ann is this stuff for real?  Its really amazing I had one of my clients post add's for investors in numerous foreign country craigs list adds.. Like Brazil  UAE  Hong Kong etc.. and all the reponses were from middle eastern dudes.. and you sent them the briefest of info ( this person did) then you got a congrats you are approved.. we just need you to buy a performance bond from this company in Thailand for 6k.. So this client of mine I told her this is a scam.. She wanted me to fly to UAE to meet with these people... I told her no way in hell !!

[Corey Dutton]

Never trust hard money lender lists, any association that requires upfront dues, and others such as REIClub.com, that also has a "pay to play" list of hard money lenders. These are all bogus because most of the lenders on these lists are just upfront fee collectors (e.g. hard money upfront fee loan scams). There's no way to filter these lists, as people just pay money to be listed on there. This is not to say that some of the lenders are legit that are listed, but BEWARE, most are just scam artists looking for easy prey, promising 100% financing on your first rehab deal. Please....

[Miguel Gomez]

http://www.ripoffreport.com/r/Ryan-G-Wright-DoHardMoneycom/West-Jordan-Utah-04088/Ryan-G-Wright-DoHardMoneycom-Sells-products-from-and-with-Chris-Wise-The-fraud-in-th-1104607

[Shedrick Nettles]

In regards to dohardmoney.com

I have found their service to not be satisfactory. It is well organized but it doesn't work like they say. I have submitted several deals at 650 dollars per inspection BPO and I have yet to close a deal and for really petty reasons. They even said oh it's not a problem with us but with you...we have several other investors in your market who are closing deals with us and they have yet to provide references. Keep your money find a real lender it's an awesome waste of time and effort. Especially when you factor in EMD and other costs out of pocket.

[Spencer Taylor]

Originally posted by @Shedrick Nettles:

In regards to dohardmoney.com

I have found their service to not be satisfactory. It is well organized but it doesn't work like they say. I have submitted several deals at 650 dollars per inspection BPO and I have yet to close a deal and for really petty reasons. They even said oh it's not a problem with us but with you...we have several other investors in your market who are closing deals with us and they have yet to provide references. Keep your money find a real lender it's an awesome waste of time and effort. Especially when you factor in EMD and other costs out of pocket.

 Hello Shedrick,

I'd like to learn more about what you feel went wrong with your evaluations. I am over the loan dept at DoHardMoney.com and I am happy to report we are lending on deals in various parts of the country so I'd love to learn your thoughts on what should have happened on the deals you submitted and what could be improved in the future. We really look at our relationship with our investors as a partnership in which we help protect you from getting into bad investments. I know sometimes underwriters can be portrayed as the bad guys but our underwriting process has been well thought out and is entirely designed to help you and us experience profits on each deal we lend on. 

There are several steps that can be completed before ordering the evaluations in order to prevent spending $650 on deals you can probably disqualify on your own. Of course there are always potential issues that are not immediately apparent such as foundation problem, crooked trusses, mold, etc that may still make a property a bad deal but in those cases, it is more than worth the $650 to prevent you from getting into a money pit that will end up in financial losses of tens of thousands of dollars. 

I am here to discuss further as you'd like.