When most people think about Real Estate investment they picture an HGTV show where you buy, flip and sell the home over a course of a few months. From finding the property to demolition, to renovating it, dealing with unforeseen expenses and then trying to sell it for enough money to at least make a small profit seems like a ton of work. But what if all you had to do was fund the deal and the professionals handled all the hard stuff? Become a private money lender and you too can invest in real estate without ever having to lift a hammer.
There’s a reason so many people are investing in Real Estate. You can make incredible returns with much less risk than many other investments. Become a private money lender and you’ll lower your risk even more by funding a property for professionals to renovate or build over. Because they do this all the time, professional real estate solutions companies know how to put your money to good use and get you the returns you’ve been dreaming of. See our top 5 reasons to become a private money lender for real estate.
1.Your investment is backed by Real Estate. Unlike the stock market or bitcoin, real estate is a tangible investment. Because of this, the investment is always protected by both the home and the land. This lowers your risk for a bad investment.
2. Make higher returns. On average, most investors will make double digit returns. Typically a real estate investment will make you 4 – 5x more than the average CD rate. Start putting your money to work for you.
3. It’s truly passive. Private money lenders never have to go look at a property, lift a hammer, or try to sell it. A real estate private money lender has the luxury of staying completely hands-off on their investment. Whether you’re collecting monthly returns or a lump sum, the most work you’ll have to do is cash the check.
4. Multiple sources of funding. There is more than one way to fund your private money investment. Cash, personal or business lines of credit, home equity lines of credit and even your retirement account are all ways of investing in real estate. Leveraging a ROTH-IRA account is one of the best ways to get the most out of your investment by taking advantage of the tax benefits.
5. Recoup your investment quicker. Most private money lenders for real estate profit off their investment in less than a year. Once the property sells, not only do you get your profit, but you also have an option to recoup your investment or use it to invest in another property and start the process all over again.
Ready to start putting your money to work? Contact us to see how you can become a private money lender for our projects. At Thayer Homes we buy properties that are in need of a total tear down and build a new home in its place. As award winning home builders who have perfected our system, we’re confident in our ability to get you amazing returns on your investment. Click here to learn more about how you can get started!