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With the fluctuations in the stock market and unscrupulous corporate board members, as an investor you may be finding it difficult to earn a decent return on your investment dollars. It almost seems safer to stuff your money under the mattress since it isn’t growing anywhere else. However before you rip off the mattress cover consider becoming a private money lender.Refer here Money Lender

Just like any other lender, as a Private Money Lender you will agree to lend a certain amount of funds to a borrower in return for interest in some type of collateral. Usually this collateral is commercial or residential real estate but private money lender funds are often sought for business equipment and start ups too.

Since you are a private investor, getting started is easy: What makes private money lending so attractive for the investor is the quick return of investment. Private Money loans are normally short-term loans usually under nine to twelve months, and you have the luxury of cherry picking your deals.

Unlike traditional lending institutions where everything has to be passed through a committee, you will have complete control over your investment dollars and who gets them. The typical private money real estate loan will have a loan-to-value ratio of no more than 65%. This way your investment is covered even if the deal goes bad. Once you learn the ropes you will be able to spot a good deal at a glance and minimize your risk.

You may be wondering, with the real estate market the way it is, why anyone in their right mind would consider investing in real estate. It’s simple supply and demand actually. Land is the only finite commodity, in other words they’re not making any more of it, and all that changes is who has it. People still need houses to live in and doctors need offices to practice from. The real issue is that banks are not lending.

They’re so scared of causing a board member to lose his bonus that they’ve neglected to do what they’re supposed to do which is to lend money. Since real estate still needs to be bought and sold, as a private money lender you will be in the perfect position to earn a nice income for yourself helping other real estate investors grow their incomes as well.