For anyone in real estate, it’s definitely worth exploring how private money can align with your goals—whether you're borrowing or lending!

In my situation I can only borrow 70% of LTV. 

What’s the biggest red flag you watch for when vetting borrowers?

I'm looking to connect with potential borrowers.

The experience and assets of the borrower are also part of the due diligence review.

It is unreasonable to think that you will have positive cash flow if you are borrowing 80 percent.  

@Bijan SabbaghiYou don’t that’s the challenge - we pull data from several places as a note holder and for example and currently we see less than 20% actually going to foreclosure as most are ending in bankruptcy right now due to borrowers equityThe ones that are under water are typically going back to the bank.Best bet is to find properties where deceased or maybe divorced to get higher chance of actually going to foreclosure

I am not an S8 expert but was just sent the link by one my borrowers.  

How much of the $650k do you have to borrow them to complete the build?

They are underwritten primarily based off of the property not the borrowe so your W2 nor DTI is relevant.