Posted by Graywolf on February 01, 2002 at 22:47:40:
Move slow do your home work and most of all for a new lender only do deals with the lowest LTV.
Safe Investing
Graywolf
Becoming A Lender - Posted by Boston Joe
Posted by Boston Joe on February 01, 2002 at 19:02:48:
I have about $50,000, with access to more, and would like to become a private lender. I’m looking for for advice on how to get started… do I need to be licensed or anything in MA?..should I advertise?..should I tell a mortgage broker I have funds available? Or anything else you can think of. Thanks
Re: Becoming A Lender - Posted by Zidzi
Posted by Zidzi on February 03, 2002 at 15:18:01:
Hi Joe
Consider joining a group of other investors who can complement you.
Just to give you an idea as to what we have done:
We have teamed up as a group of investors. Some of us have excellent credit and limited funds, some brought money to the group and others had a knack for finding deals.
We are across from Florida, NY (Great guys up there) the Carolinas and Mass. Between us the goal is to create a pool of ($100K each from the deals we are doing) multiplied by ten of us which amount equals a million.
Now $50K, they tell you is not much, but double that (easily) and if you team up with some others you can all have $1 million and with that the sky is not even the limit. (Thanks Terry Vaughn and Ed Garcia: mentors with a difference).
You can do it Joe, just do your due diligence. Success is a decision, Go for it. Don’t let anything or anyone stop you.
Zidzi
Re: Becoming A Lender - Posted by Jim Rayner
Posted by Jim Rayner on February 02, 2002 at 16:48:41:
joe,
as a private lender in MA all that is required is proper notice to be filed with the state.
most private lending in MA is done through attorneys if you would like a referal to one that does this regularly email me privately.
Re: Becoming A Lender - Posted by JoeS
Posted by JoeS on February 02, 2002 at 12:27:49:
You could start by being an active partner with another party in a property. He or she would locate it, both of you would look at it, do your homework as to value etc., and you could fund the deal. I realize in Boston 50K does not buy a lot, but where I am from you can buy 2 excellent properties and double your investment in less than 6 months.
Re: Becoming A Lender - Posted by Ed Garcia
Posted by Ed Garcia on February 02, 2002 at 24:36:48:
Joe,
A lot would depend on how you want to invest. $50,000 could easily be one deal. I’m sorry to say, it’s not enough to put you into the lending business.
It may be in your best interest for you to hook up with a Mortgage company who handles PRIVATE INVESTORS. In California, you would get 13% and the LTV wouldn’t exceed 65%. In going through a mortgage company, a license will not be required. You will be considered an INVESTOR rather than a LENDER.
For information regarding licensing, contact your local Mortgage Broker who could send you in the right direction or The Department of Corporations of your State.
Ed Garcia