“Cash is King.” That statement is as true now in this market as ever. With cutthroat competition on any wholesale deal posted in the local Facebook group, the best deals are only available to cash buyers. As real estate investors we need access to cash quickly with low cost and flexibility in terms. The answer is Private Money. 

The term Private Money gets thrown around a lot lately muddying its true meaning. It is not the same as Hard Money where professional lenders charge large upfront fees and high interest rates for short term loans. It is also not personal money or access to personal equity like a line of credit. Private Money refers to individuals, often who we know personally, that loan us money for real estate deals. They are not equity partners but receive interest on their money which is secured by real estate - just like the bank. 

They could be your friends, family, or business associates. They may be members at your church or parents of your child’s soccer teammate. They typically have money placed in investments other than real estate such as the stock market, mutual funds, CDs, etc. They may even have their money in an IRA or old 401k from a
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