How Does Someone Become A Hard Money Lender?

How does someone become a hard money lender? How is this industry regulated? How much money does it take?

Comments(6)

  • cpifer9th December, 2003

    It really doesn't take that much at all. In terms of this site, most deals are relatively small, under or araound $100K. I'm sure if you posted in the "Lender" section of this site, you'd get some deals.
    C-

  • InActive_Account9th December, 2003

    Quote:
    On 2003-12-09 10:45, SELF_MADE_MAN wrote:
    How is this industry regulated?

    Every state has there own rules as to who they regulate. Most states do not regulate commercial lenders the same as residnetal lenders.

    That is why most HML do allow you to live in the property. If they let you live in the property then it would be a residental loan and that would be regulated.

    Since your in GA this is the agency that may or may not regulate you. http://www.ganet.org/dbf/mortgage_forms.html

  • SELF_MADE_MAN17th December, 2003

    From searching the site it looks like I'm more interested in being a private money investor.....

    thanks for replying.

  • DerrickAli17th December, 2003

    SMMAN:

    Nice to meet you!

    You gathered K-REKT regarding becoming a PRIVATE PERSON Loaning Ca$h to the Needy homeowner or upstart REIer!!!

    I've had much success both as a regulated Mtg. Broker and MUCH MORE PROFIT with a LOT LEES HEADACHE (read: regulations, Licensing, etc.) in the Private loan arena.

    I usually do this using land trusts. Keeping the Title un clouded and Obtaining an ABI(Assignment of Beneficial Interest) from the TRUSTEE in case the homeowner or REIer defaults on our arrangment!

    PM me for more information on becoming either a Regulated or Private Lender---I'll be glad to share the Good, the Bad and the Ugly with both!

    Hope this helps!


    Derrick

  • nlsecor17th December, 2003

    Something you may want to consider if you have only 20-100k is being an investor. As an investor, you can let people know you would be willing to be a 50% equity partner in preforclosure/short sale deals. If you make a 20k investment and double your money in 6 months, your doing pretty good. Furthermore, if you get your name out and be selective, you can have some degree of certainty. There are lots of smart people with solid deals, that lack cash.

  • WheelerDealer17th December, 2003

    I would have interest investing in the private money sector myself
    [addsig]

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