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The Little Lender That Could – How Small, Independent PML Shine

This week we attended the American Association of Private Lenders annual conference in Las Vegas, our 4th time over the years. It has been a great way to make new connections with others in the industry and receive timely updates and industry trends. The exhibition hall is a phenomenal way to access tons of resources and vendors able to assist any private lender – big or small – with solving current business challenges specific to private lending. One year we went seeking support for automating our originations processes. Another year we were looking at the possibilities of establishing relationships with

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Closing Day, Show Me The Money!

Recently, I reviewed some old collateral we pulled together years ago for prospective investors seeking us out for private money placement. What stuck out to me while reviewing these pieces was the number of times I used private money and hard money interchangeably. As a novice in the field, back in 2014, I didn’t really understand or care about the difference in definition. In all honesty, I felt it was more semantics than anything else and who really cared what you called it so long as we provided a financial solutions people needed. However, I began to understand the true

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Getting Up Close and Personal Raising Capital as a Private Lender

A few weekends ago, I participated in a panel discussion on how to raise capital for real estate related investments. On stage with me were two other seasoned capital raisers; one who owns a successful syndication company that in a very short amount of time landed his company on Inc.’s 500 list and the other who’s a local hard money lender utilizing pooled mortgage funds and a warehouse line of credit as leverage to fund a large volume of loans annually and has successfully scaled into multiple states over the past decade or two. While I was the “small fish”

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5 Questions to Ask Yourself Before Becoming a Private Lender

Lately, I’ve experienced a fair amount of interest (no pun intended) in private note investing, where you lend out your money to a real estate investor to passively earn interest income. It seems like many investors are sitting on a pile of cash from a recent flip or a work bonus, and are curious about diversifying their portfolio beyond stocks and other traditional investment strategies. I thought I would provide a little more information for those interested and contemplating whether investing in real estate-backed loans is right for you. There are a ton of us hard money and private money lenders out

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The Down-Low on Low Equity Loans

As mentioned in our first Back to Basics article, relationships can’t be your sole determination for risk and should take a backseat to hard facts. After all, bad things can happen to good people and not making data driven decisions about who to lend to and what to lend on can leave you in a tough position and your principal investment at risk. In this second installment of our Back to Basics series, we address one of the most important ways to secure a private loan through safe equity buffers. Especially for new borrowers who are unknown entities, high equity

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5 Things Every Borrower Should do to Expedite Their Loan Closing

One of the biggest complaints I hear about the real estate financing industry is how slow some lenders can be to close a deal. I have heard on occasion borrowers complain my team is not working quickly enough, or in other instances, borrowers will complain to us about other lenders they’ve worked with in the past who did not meet timely expectations. And while lenders are not exempt from human error, there are plenty of things a borrower could do to ensure their loan funds smoothly and quickly. Here are some tips and considerations every borrower should know about if

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