Private lending is financing from a private lender rather than a bank or a traditional lender. It is usually shorter term and based mainly on the property. It is one option to review when conventional financing does not fit, not a default or a first choice, and the lenders we work with are established, not one-off individuals.
Largely institutional or dedicated private lenders, some credit-union owned, not one-off individuals.
Mainly the property, with the income and the exit also in view.
Usually short term, with a defined maturity date to plan around.
Generally costs more than conventional financing, reflecting the added risk and speed.
Often able to move quickly and consider files a bank cannot at the time.
A short-term need with a clear exit, a time-sensitive close, or a property or situation a conventional lender passes on for now, when the plan to move back to conventional financing is realistic.
A long-term need, no clear exit, or costs that would strain the plan. If a conventional option can work, it is usually the better route, and we will say so.
The private lenders we work with are largely institutional or dedicated private lenders, and some are credit-union owned. That tends to mean more consistent terms and a smoother renewal, the part borrowers most often worry about with private lending.
Not sure whether private lending fits your situation? Bring it to us and we will review the financing paths with you, conventional first, and tell you honestly where it lands. A licensed member of our team will follow up.
Start a conversationInformation here is general and educational. It is not financial, legal, or lending advice, and it is not an offer of financing. Private lending is one option to review and is not suitable for every situation. Any figures are illustrative only. All financing is subject to lender and property review and supporting documentation. Submission of a form does not guarantee approval or financing.