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Use Private Money to Buy Foreclosed Properties

Just because a property has been foreclosed on by the bank, it does not mean the property has no value. In fact, if the former owner paid off a good percentage of the mortgage, you can stand to make a good profit when you resell the property. Unfortunately, many decent properties remain unclaimed because traditional real estate investors are afraid to take a chance in these difficult times.

On the other hand, if you are new to the business, or know you have a special flare that can get these houses sold, it may help to look into private money loans. This money will enable you to buy good foreclosed homes, and then resell them at a profit.

Did you Know Private Money for Real Estate is Available?

Most people interested in house flipping or buying up foreclosed homes for investment do not realize that it is easier to get a private loan as opposed to a bank loan. For example, we have seen a number of clients that lost all kinds of sweet deals because regular banks dawdled during the loan acquisition process.

On the other hand, our clients were able to make the exact same deal in a matter of days, and then go on to the next bargain to offer to their clients. In most cases, lack of knowledge about private loans truly makes a difference in terms of whether you will succeed or fail in the current real estate market.

What are Private Money Loans?

A private money loan is money provided outside of a traditional banking structure. For example, if a family member or friend lends you money, that would be a private loan. In this case, wealthy investors from all walks of life look for savvy business people to lend money to. Depending on the loan, the interest rates and loan duration may vary significantly.

For example, if you only need a loan for 30 days to bridge between closing out a foreclosure and resolving the mortgage via a new client, private money loans can help.

What Kind of People Act as Private Money Lenders?

Essentially, private money loans are monies made available by the following kinds of investors:

  • Venture Capitalists
  • Offshore investors
  • Retirement and hedge fund investors
  • Private Banks that operate outside of the traditional banking structure
  • Others interested in lending money on real estate deals without using a traditional bank and loan processes.

If you are interested in getting a private money loan, we would be more than happy to help you. Our staff members have a list of thousands of potential investors that believe you should have a chance to make it big as a real estate investor.

Just call us today 612-926-1111 or use the form to the right and we will be more than happy to provide information about our services. Why let that house up the road go on sitting empty when you can make a profit on reselling it instead?

Do you need a Hard Money Loan for your next real estate purchase or refinance fast?