Invest

Safe, Secure, Compliant Transactions.

Three Ways To Invest

Fractional Loans

Fractional Loans are available in units that are 1/10th of the loan amount or a minimum of $25,000. Each Trust Deed investment is limited to a maximum of 10 investors.

Qualified California Residents Only

Whole Loans

Whole loans are available for purchase by acquiring ALL the fractional interests or units in a loan. Loans offered for sale will typically range in size from $150,000 to $750,000 or more.

Qualified California Residents Only

Managed Funds

Accredited Investors have the additional option of investing into one of our two Managed Funds.

Accredited Investors Only

How to Invest

In order to view our Offerings and make a Trust Deed investment please follow the steps below.

Investment Flow Chart (1-page)

Register

Register to become a PrivateMoneyLoans.com Investor. It only takes a few minutes!

Once you Register we will review your registration information and process a new account approval. You will receive an email upon approval, usually within a few hours, and certainly by the next business day.

Preview

Preview the Trust Deed investments available through our online marketplace (SEE “Offerings”) and select opportunities based on loan amount, interest rate, loan to value ratio (LTV), location, property type, borrower credit score, or other criteria that is important to ensuring the Trust Deed investment is suitable for you.

Select

You may select from:

• Newly originated loans in which you fund directly into escrow and then close.

• Newly originated loans that have funded, closed escrow and are available for purchase.

• Seasoned loans with a payment history.

Pledge

Pledge the dollar amount that you are comfortable with for the term of the Private Money Loan in which you choose to invest, for a factional interest or the whole loan amount.

You can increase, decrease or release your pledge at any time prior to funding.

Review

“Transparency” is one of the hallmark features of PrivateMoneyLoans.com.

Once you have pledged your investment we will provide secure access to the loan file, so you can conduct your own due diligence, while carefully reviewing the information provided to assess risk and suitability.

You are encouraged to review the loan file with your CPA, attorney, or trusted real estate advisor(s).

PrivateMoneyLoans.com enables you to communicate directly with the loan Sponsor through the platform, so that you can get quick answers to any questions or concerns that you may have.

Funding

When a loan is fully pledged and thus ready to close, the investment status will change to “Funding Now” at which point all pledges will be final.

All pledged investors will be notified, lender documents will be provided for review and approval, along with wire instructions for wiring funds into escrow.

Closing

When all pledged funds are received in escrow, along with signed lender and borrower documents (promissory note, deed of trust) we are ready to close.

At closing the deed of trust is recorded against the title of the borrower’s property, in the name of investor(s). Your investment is secured by the recorded deed of trust. After recording the funds are released from escrow to the borrower.

For loans that have already closed escrow and those that are seasoned all pledged funds are deposited into an assignment escrow. The loan is then assigned to the new owner(s) and recorded. After recording the funds are released from the assignment escrow to the seller(s) of the loan.

Distributions

Once escrow has closed the Private Money Loan will be boarded with our servicer who will collect monthly principal and interest payments from the borrower, and process monthly distributions to the Investors.

The interest income on the loans you have invested in are automatically deposited each month into your bank account.

Loan servicing is managed by Pacific Private Money, Inc., with $94 Million representing approximately 200 loans in servicing and a 6-year operating history.

Reinvest

When the borrower is ready to pay off their loan, either at maturity or earlier, a payoff notice will be provided to you. At payoff, a final interest payment will be made to you along with the remaining principal balance.

Your capital is then ready to reinvest.

Interview with Co-Founder Mark Hanf

What You Should Know

The California Bureau of Real Estate Published an overview
of what you should know about Trust Deed Investments.

We recommend you read it.

Investor Qualifications

As part of the registration process each investor will have to certify that they are a Qualified Investor, which qualification requirements are as follows:

To make Trust Deed investments through the PrivateMoneyLoans.com online marketplace you must be a Qualified California Resident or Qualified California Entity, and the investment must be deemed to be suitable and appropriate for the investor, given the investors investment objectives, portfolio structure, and current financial situation.

01. Determining Suitability

The factors that determine whether an investor or entity is a Qualified Investor under California law include, investor net worth, income, age, financial situation, investment experience, investment objectives, past investments, and other investments currently held by the investor.

02. Qualification based on Income or Net Worth

Investors must meet the qualification that a single Trust Deed investment does not exceed (a) 10% of their net worth, exclusive of home, furnishings, and automobiles or (b) 10% of your adjusted gross income for federal income tax purposes for their last tax year or as estimated for the current year.

03. Capacity to Understand the Investment

Investors must have the financial sophistication and capacity to understand the fundamental aspects of the investment, due to their education, business, financial, or investment experience.

04. California Residents and Entities

Individual whose income exceeded $200,000 in each of the two most recent calendar years and who has reasonable expectation of reaching the same income level in the current year; OR

05. Ability to bear the Economic Risk

Investors must be able to bear the economic risk of the investment, up to 100% loss of the capital invested.

06. Accredited Investors

PrivateMoneyLoans.com is not restricted to Accredited Investors, however, we welcome Accredited Investors who can certify their Accredited Investor status, as they can participate in both our Trust Deed investments and Managed Funds.

Accredited Investor Qualifications

Accreditation requirements are as follows:

Individuals – Net Worth

whose net worth, either individually or jointly (such as spouse’s income) exceeds $1 million (excluding the value of your home) at the time of purchase; OR

Individuals – Income

whose income exceeded $200,000 in each of the two most recent calendar years and who has reasonable expectation of reaching the same income level in the current year; OR

Individuals – Income with Spouse

whose joint income with his or her spouse exceeded $300,000 in each of the two most recent calendar years, with reasonable expectation of reaching the same income level in the current year.

Testimonials

“I want to thank you and your staff for working diligently on behalf of Claudia and myself in educating us in investing in deeds of trust. Your staff has gone the extra mile, keeping us appraised of all the steps - whether they be who is the title company, escrow officer or appraisals. Please keep us in mind of further opportunities as they come up.”

Salvatore Romano
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