This is a property that Cash Home Buyers LLC (CHB) closed on at the end of August. They are a small family owned company renovating a property that they purchased in a Short Sale. Since CHB is a small company and only renovates a few properties a year, they will hire a General Contractor where it is necessary by code and they will share in the work to do the renovations. CHB currently has all of their cash tied up in other properties, so, they are looking for private people to fund their projects. This is where we come in.
My company, A-List Homes LLC, was set up to lend money to rehabbers (investors renovating properties). We have the expertise to find and renovate properties but choose not to have that as part of our business plan at this time. I set up Joint Venture agreements with the investors that I work with because I have expertise beyond that of a Private Money lender. I bring more to the table. As my part of the JV, we agree on the scope of work, renovations and profit sharing before the property is purchased. Because I am a Realtor, I market the property when it is ready to be resold.
If you have money to invest but do not have any real estate, construction or marketing expertise, you can earn between 8% and 15% interest on your money (investment). For the most part, the percentage is based on risk, length of time, dollar amount of investment and your relationship with the rehabbers.
The above mentioned property is currently pending sale. If you would like to see the “after renovation” pictures and video, please visit http://www.7451LincolnSt.com
Feel free to contact me if you would like more information on private money lending.