Private Lending

Earn as much as 14% On Your Money With A Private Mortgage Secured By Real Estate

Private mortgages offer a great return to private investors that are looking to get more return on their money than they can in other investments such as CD’s, bonds and the stock market. Investing in a private mortgage offers a secure and consistent monthly income payment and is a very safe and predictable investment. If you consistently earn returns of 14% on your money as a private lender then you will outperform all other investment asset classes including stocks, bonds and mutual funds. More importantly you will do so with very little risk. Consider the risk and volatility that stock market investors have had to endure over the past 15 years. From October 2007 to March 2009 The Standard & Poor’s 500 Index lost 56.4% of its value. From March 2000 to October 2002 the stock market lost 49.1% of its value. That’s twice in 15 years that the stock market lost half of its value. Would you like to see your life savings get cut in half?

Do you think investing in bonds will fare any better? We are at historically low interest rates. What would happen to your bonds and bond mutual funds if interest rates began to rise? The biggest bond fund investor in the world (Bill Gross) himself said that investors would be decimated.

Consider how private lending has performed. I personally have investors who have been lending with me since 2003. For 12 years they have been earning consistent predictable monthly returns with a check in their mail box each and every month. They have had no loss of principal and no up and down roller coaster volatility like the stock market. All they received was predictable, consistent and safe returns. Did you know that investing your money at 14% means your investment would double in just 5.14 years? If you had invested $100,000 in private lending back in 2000 your money would now be worth $800,000. If you had invested the same money in the Nasdaq stock market you have yet to earn a return (after 15 years). Are your stock, bond and mutual fund accounts capable of giving you predictable, safe and consistent returns?

Consider that all banks loan money at 80% of the value of the property (LTV). If you as a private lender loan money at 65% LTV then your investment is substantially more secure than a typical bank loan. If you would like to earn higher returns on your money as a private lender please review the information below:


What kind of return does a private mortgage offer?

You can earn anywhere from 10% to 14% as a private lender. All interest payments are paid monthly and are automatically mailed to you directly from the borrower. Fix and flips typically pay around 13% to 14% with a one year loan term. Long term loans on rental properties earn 10% to 12% (depending on the borrower) and are usually two year or three year loan terms.

What is the minimum investment?

The minimum investment is $30,000.

What is my security collateral?

The property is your collateral. You are secured by a recorded first mortgage and promissory note on the property. As a private lender you will get the following documents which will be prepared and reviewed by our attorney (the borrower pays all costs).

What is the loan to value (LTV) ratio?

You will lend typically no more than 65% of the after repair value (ARV)


Assume a house is worth $200,000 once it is fixed up and is in move in condition. As the lender, you agree to loan $130,000 which is 65% Loan to Value (LTV). On a fix and flip the interest rate is typically 14% so you would earn interest of 14% on the $130,000 which is $18,200 per year. You receive a monthly interest payment of $1,516.66 every month until the property is sold and the loan is paid off. There is a 6 month prepayment penaly so in the event that the property was sold before six months you would still receive at least 6 months of interest payments. If you are using your IRA then the funds are sent directly to your self-directed IRA custodian.

What kind of properties do our investors buy?

Our investors purchase single family homes, duplexes and multifamily. We do not lend on condos, 55+ communities, mobile homes, or land. Your investment will be secured by a first mortgage on a single family home that is purchased by an investor to fix and flip or fix and rent.

Do we pool funds?

No, we never pool funds. Your investment is secured by one property. We only have one investor per property. We NEVER pool funds. You receive a first mortgage on the property and you will be listed as a lender in public records and on the mortgage and promissory note. If you would like to loan on more than one property then you will have a separate mortgage and promissory note for each property.

What is the term of the private mortgage?

Typically our private mortgages are from 12 months to 36 months with a 6 month prepayment penalty. Loans can be extended if the borrower and lender both agree on the terms.

Do you send the money directly to us?

No, you will be wiring your money directly to the title company or the attorney that is handling the closing.

Can you use your own attorney?

Absolutely, the borrower pays all attorney’s fees but keep in mind that our attorney charges $500 to prepare the loan package so our borrowers will not be thrilled if your attorney charges much more.

Where are the properties located?

The single family homes that our investors purchase are located in South Florida between Miami and Port St Lucie. Each house is personally inspected by Lex prior to agreeing to fund the loan. Most of the houses that we specialize in are entry level first time home buyer homes. These homes typically sell for between $50,000 and $300,000 depending on the area.

How do I get started?

Please fill out the private lender indication of interest form below. If you have any questions please contact our office at 800-617-2884 or submit an email to

Are you interested in becoming a Private Lender? Please Click The Button Below to Get Started!