For Private Lenders

BECOME THE BANK, EARN A PASSIVE AND SUSTAINABLE STREAM OF INCOME CONSISTING OF PRINCIPAL AND INTEREST PAYMENTS SECURED BY REAL ESATE ASSETS.

-James Timothy White, Founder of RentalInvesting.com

 

WHO CAN BECOME A PRIVATE MONEY LENDER?

Do you have savings or a self-directed retirement account with investable capital? If so, you may want to consider becoming the bank and using available capital to become a private money lender and finance real estate acquisitions.

Why consider becoming a private lender? In many cases, acting as a private lender may allow the investor to earn better returns than many other investments. As an added benefit, the principal is secured against a physical asset, the underlying real estate such as a single-family residence, commercial property, or land.

Private lenders who provide capital for real estate investment activities and sellers who sell with owner finance receive a steady stream of interest and principal payments with none of the typical headaches that come with direct ownership. 

When a lender finances the acquisition of income-producing real estate investments, that capital earns income in the form of interest payments while the principal is secured with real estate assets.

Anyone can become a private money lender. Some people provide real estate loans to real estate investors all over the country, and they usually come from three different groups:

  • Individuals with idle money or a surplus of cash sitting in savings accounts receive little to no return;
  • Individuals who have self-directed IRAs that offer real estate investing as an alternative; or
  • Professional investors such as hedge funds, banks, and hard money lenders.

Participating in a private lending investment strategy allows investors to earn passive income without the responsibility of day-to-day management and operations such as maintenance, lease, and collection of rent payments. Private lending also mitigates certain risks associated with direct real estate investments.

What are the benefits of beCOMing a private money lender?

There are many benefits to becoming a private lender, but whether this strategy is appropriate for any individual person depends on an individual’s needs and financial objectives. In general, the following are the five main benefits of being a private lender.

  • Options: Greater control over the investment and loan terms.
  • Better Returns: Private lenders typically earn better rates than leaving the capital in savings, money market, or self-directed retirement accounts. Many private loans provide higher returns than a range of other investments.
  • Consistency: Private lenders know the exact amount they expect to receive every month, which allows them to predict future earnings, better manage cash flow, and plan for the future based on their return on investment.
  • Secured: The real estate itself secures the note; if a default occurs, the lender takes the property back and keeps any payments and interest already paid.
  • Simple: Private lending is usually a simple and straightforward process.

Why work with us as a private money lender to deploy capital?

LOCALS

Our founders have been acquiring property from local residents who sold property with owner financing since 2014 when James Timothy White became a licensed real estate agent.

MAINTENANCE TEAM

We employ a full-time, proactive maintenance team to ensure that assets are managed and improved over time, protecting the long-term value of the underlying collateral property.

WE PAY ON TIME

Principal and interest payments are automatically sent to your bank account on a monthly basis using ACH. We can provide lenders with credit references from prior transactions.

EXPERIENCED PROFESSIONALS

Real estate broker, James Timothy White, and attorney, Andrew Easler, have made numerous acquisitions of multi-tenant, single-family residential, land, and other specialty properties in Central Florida since 2013.

CLIENT TESTIMONAILS

RentalInvesting.com