Our Lenders Share Their Experience
At a recent event, I invited a few of my private lenders to share their experiences with lending on our real estate projects. What they shared was humbling and a great reminder of how important trust, integrity, and execution are in this business. Below is the transcription of their remarks, along with a few of my own reflections at the end.
If you’re curious what it’s like to lend privately, and why investors choose us over and over again, read on.
A Private Lender’s Perspective – John
“I first heard Brant speak about seven years ago in the summer. He was presenting from his Private Lender Playbook and right away I thought, ‘Yeah, that’s something I can get involved in.’ While I was in the presentation, I got on my phone and ordered his book. I spent a few months reading and digesting it, and by December or January of 2019, I did my first deal.
Brant got me started in this business and I really appreciate the education I received from that book — it’s still the foundation of my lending practice.
For me, Brant is not only an expert in lending but also the gold standard of borrowers. He’s who I compare other borrowers to. I’ve done quite a few notes with him, and I’m always pleased because I know he and his team will pay the interest on time, overcome any surprises, complete the project, and return my principal.
In my experience, he’s an excellent businessman and a man of high integrity. I’ve learned a little bit from him and his team each time, and I really appreciate it.”
Another Lender’s Experience – Dennis
“My name is Dennis Surf and I’m a private lender. I’ve known Brant for three or four years — maybe longer — and he’s been great. He’s professional. He taught me what private lending is all about and showed me the benefits.
The benefit I like the most? The money. The mailbox money. That’s a big benefit.
I met Brant through a friend I’ve known for 40 years who introduced me to him. At first, I was skeptical about lending money to someone I didn’t know, but once I listened to Brant and heard what he had to say, it was all good.
I think we’ve done about five deals together. In fact, I just finished one today and started a new one as well. Private lending is good — and you can trust Brant. That’s important because you work hard for your money and you want to make sure the person handling it is someone you can trust.
I’m all in. I don’t know if y’all are, but I am.”
My Thoughts
After hearing these kind words, I told the group:
“I promise you, these are not paid speakers. I just asked them if they’d like to share a few things about their private lending experience, and I really appreciate it.
When I started raising money back in 2009, I’d been using hard money. There’s nothing wrong with hard money — I even tell my coaching students to start there — but it’s expensive. I explain it’s like riding a bike with training wheels. Eventually, you want to take them off.
When I started getting lender commitments, it felt exciting — but I also felt the weight of the world on my shoulders. I told my wife, ‘If things go wrong, my lenders get paid back no matter what — we’ll sell our house, live in the streets if we have to.’ That’s been my commitment ever since.
It’s not always easy. There are always challenges, but that’s what separates great operators. As much as you’re analyzing a deal, you should also analyze the borrower. Integrity and execution matter more than anything.”
If you’re interested in learning more about how private lending works — or how you can start earning predictable, secured returns by lending on real estate — reach out to me anytime.
Brant Phillips
Houston Capital Group