PropertyNvestors created the Private Money Lending program to fill the gap between investments and very high returns through private money lending and real estate investments. We’re a group of real estate investors dedicated to providing you with innovative programs that give you more control over your investments while safely making them grow beyond current rates.


 



So, what is a Private Loan? It is a loan made to a real estate investor that is secured by real estate. Private Money Loan Investors are given a first or second mortgage that secures their legal interest in the property thus securing their investment. We are not talking about high Loan-To-Value (LTV) ratios the banks and savings and loan institutions make on homes. We offer low LTV ratios to our Private Lenders to increase security of the loan. Our standard LTV ratios are under 75% of the value of the property securing the loan and frequently as low as 60% to 68%. This means additional security on the investment.

For example, if a property is valued at $100,000, our Private Lender will never have to loan more than $75,000 dollars on the property. That’s a 75% loan-to-value ratio. This is obviously a much safer approach from that taken by conventional lenders. These banks get into trouble because they make loans at an 85%, 90%, or even 100% loan-to-value ratio leaving them no equity for transfer costs, if they are ever forced into a position where they have to take back the collateral property.

As a private money lender, will never lend more than 75% LTV. It is in the private money lender’s best interest to minimize risk and maximize return and this is why a loan should never be made without a 25% safety net. We don’t violate this rule, because security is at stake.


 

*Results are not typical. Investors should be aware of the risks inherent of any investment, including the loss of said investment.