How can private lending help investors build wealth without the stress of property management? Angel sits down with Alexandria Breshears, a private lender and educator, to break down the fundamentals of private lending. Alexandria explains how it differs from hard money lending, the key protections lenders need, and why it’s an attractive option for investors looking for passive income. She also shares negotiation tips, common misconceptions, and best practices for building strong borrower-lender relationships.

 

[00:01 - 06:20] What Is Private Lending?

• A hands-off way to invest in real estate without managing properties
• Especially appealing to women investors looking for flexibility
• Less stressful than wholesaling or direct property ownership

[06:21 - 12:48] Private Money vs. Hard Money

• Private lenders control their own capital; hard money lenders follow strict institutional guidelines
• Hard money loans have rigid terms, while private lending offers flexibility
• Beware of “private lenders” claiming to lend in all 50 states

[12:48 - 18:31] How Private Lenders Protect Themselves

• Always secure loans with a recorded lien on the property
• Conduct title searches and require lender’s title insurance
• Personal guarantees from borrowers add an extra layer of security

[18:32 - 24:09] Loan Terms & Negotiation Tips

• Lenders can negotiate origination points, prepaid interest, and escrow reserves
• Most private loans are short-term (3-12 months) and interest-only
• Second lien positions offer higher returns but come with more risk

[24:10 - 29:28] Building a Strong Lending Business

• Private lending is relationship-based—successful borrowers keep coming back
• Setting clear lending criteria prevents bad deals
• Due diligence on borrowers is essential to minimizing risk

 

Connect with Alexandra:

 

Website: http://infiniteroadcapital.com/

 

Key Quotes:

 

"Private lending gives you control—you set the terms, and you don’t have to deal with property headaches." - Alexandria Breshears

 

"Private lending is one of the only investment strategies where the other person pays for your investment to be insured." - Alexandria Breshears

 

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