Need License To Lend Money?
I have been doing very well with land developing here in Central FL over the last few years.
I was thinking about lending out some money to house flippers etc. but wondered if that is regulated in any way. Any one have any idea about that?
I do have an excellent RE attorney I would use to draw it all up airtight as possible if I did do any loans.
Also, what can I expect as a return on my money?
Any experiece out there in this? Please do not guess. If you know, I am all ears. If not, just read the responses from the pros and learn along with me please.
I see that you are in Florida to find out what the law is go here http://www.flofr.com/licensing/ML-Businesses.htm
You will find that most hard money lenders do not have a license. They claim to be doing commercial loans with RE as collateral. Which is one reason why they require a statement that no one will live in the property. The other reason is that it is much easier to foreclose on a NOO property.
If you do get a license and I would recomend it it allows you to do a lot more. However getting one is no walk in the park.
As for what to expect for a return. It depends upon how fast your loans get paid off and your ability to find new customers. And FL has several Hard Money lenders so that helps to push down rates.
So far I have done th deals a s a JV. I think I will keep it that way.
if you would please email me Ricker so we can discuss something related to this issue. As the forums here have changed as i see and no longer allow there users to email each other free of charge :.)
My sister is interested in the same thing. Her email is zpilache with hotmail.
From what she was saying she is having difficulty getting started so if you guys have any tips or all want to get together to support each other I am sure she would be happy to hear from you