How do hard money lenders decide which real estate deals are worth funding? In this video, I’m sharing a behind-the-scenes look at how I underwrite hard money loans inside ZIP Capital. This week, we funded 4 real estate loans in 3 days for a total of $457,000, generating $30,680 in origination, processing, and underwriting fees. But the most important part of private lending is not the potential return. It’s risk management. Click here to learn more about ZIP Capital https://www.zipcapitalfund.com/investment-offering Hard money lending can be a powerful real estate investing strategy, but only if you know how to evaluate the borrower, the property, the scope of work, title insurance, property insurance, and the numbers behind the deal. In this video, I’ll walk through what I look for before funding a real estate loan and the red flags that make me say no. In this video, you’ll learn: • How I underwrite hard money loans • How private money lending works • What hard money lenders look for before funding a deal • How to review the borrower, property, and scope of work • Why risk mitigation matters more than ROI • Why title insurance, property insurance, a mortgage, note, and personal guarantee matter • Red flags that make a loan too risky • How ZIP Capital reviews real estate loan requests in Pennsylvania • Why disciplined underwriting protects investor capital I’ll also share a simple example deal with a $100,000 purchase price, $40,000 rehab budget, $140,000 total project cost, and $200,000 ARV to show how I think through real estate loan underwriting. ZIP Capital reviews loan requests every week, and I’m currently averaging more than 2 loan requests per day. We are not trying to fund every deal. The goal is to pick the best loans, protect investor capital, and stay disciplined with underwriting. If you want to try private lending yourself, go for it. If you want a more passive option, you can learn more about ZIP Capital. #HardMoneyLending #PrivateMoneyLending #RealEstateInvesting This video is for educational and informational purposes only and should not be considered investment, legal, tax, or financial advice. Any discussion of ZIP Capital is intended to share my personal experiences building and operating the business. Past performance does not guarantee future results. Investments involve risk, including the possible loss of principal. Any investment opportunities discussed are available only to investors who meet applicable legal and regulatory requirements. Individuals and business owners should evaluate their own business strategies, and identify any potential risks. The information shared here is not a guarantee of success. Your results may vary.
