Posted by AmosNY on July 12, 2008 at 14:43:52:
John,
Thanks for the clarification. I appreciate the way that you solve the problem. I was mostly concerned because I am in the midst of putting up a private lender website for me to solicit private lenders for my projects and not for me to use for my personal residence. I already have my buyer and seller websites ready.
Private Lending Across State Lines - Posted by AmosNY
Posted by AmosNY on July 08, 2008 at 18:15:22:
I saw in a post in the archives that private lending presents a problem if you do it in another state and the property is residential. I’m assuming that they mean if it is less than five units. Does this mean that if I bought a small apartment that was five or more that it would probably be okay?
If REI loan, no problem - Posted by John Merchant
Posted by John Merchant on July 11, 2008 at 19:51:14:
Many of the HML loans my investors and I do are on res. properties but we make sure, and get affidavits and proof from borrower that HE’s not living there and so far as he’s concerned it is comm, investment and business loan.
And you’re right in that 5 or more units is by law non-residential so no problem with those either.
If you, as I, do REI loans, my advice is to stick to the commercial and investment side