Private Lending 101: How to Earn Passive Income Backed by Real Estate 💸🏠

Private Lending 101: How to Earn Passive Income Backed by Real Estate 💸🏠

Private lending is one of the most powerful passive income strategies in real estate — and you don’t need to be a millionaire or own any property to get started.

This guide will walk you through what private lending is, how it works, what makes it safe, and what kind of returns you can expect.

🏛️ What Is Private Lending?

Private lending is when you loan your money to a real estate investor (like us) to help purchase, renovate, or refinance a property. In return, you receive:

• A notarized promissory note outlining the repayment terms

• A fixed interest rate (ours is 10% annually)

• Quarterly payments (or interest paid at maturity)

• Collateral (your loan is backed by the real estate asset)

Think of it like becoming the bank — without the stress of managing tenants, toilets, or contractors.

✅ Why People Choose Private Lending

Here’s why it’s so attractive to busy professionals, retirees, and anyone looking for better returns than a savings account or bond:

• 📈 Steady Returns: Earn 10% annually on secured capital

• ⏰ Predictable Cash Flow: We pay quarterly like clockwork

• 💰 Passive: You don’t manage the property or deal with real estate headaches

• 💼 Secured: Your investment is protected by a legal note and real estate collateral

• 🤝 Relationship-Based: You work directly with us, not a giant faceless fund

🤝 How a Typical Deal Works

1. We find a flip or BRRRR property

2. You loan funds for purchase or rehab

3. You receive a promissory note + repayment schedule

4. We renovate, rent, or sell the property

5. You get paid interest quarterly (or at the end)

6. Principal is returned at the end of the term (typically 12–18 months)

💡 What Makes It Safe?

We protect our private lenders with:

• Notarized legal agreements

• Conservative deal analysis (ARV, rehab, exit strategies)

• Real estate as collateral (recorded lien or deed of trust, if applicable)

• Regular updates and full transparency

💶 What Kind of Returns Can I Expect?

• Standard rate: 10% annualized

• Payments: Quarterly (ACH or check)

• Minimum investment: $25,000

• Term: 12–18 months

So a $50,000 investment could return $5,000 per year, paid in four $1,250 installments.

✉️ Ready to Get Started?

We walk every investor through the process, provide sample paperwork, and match you with upcoming deals.

If you want to earn consistent passive income without owning property, this is one of the most secure ways to do it.

Let’s talk.