Avatar's Blog

» Unique types of Private Money

Posted on 1/16/2005
Technically, private money refers to any non-bank funded backing that a loan deal can receive. For Avatar Financial, the backing for our hard money loans comes from institutional financing - financial organizations that have backed Avatar's loans with capital outlays.

Another common source is individual funding - from friends, family, or business contacts. This can also be done less personally through lenders that are investor backed - personal loans are collected and bundled together to lower the individual risk on a project, and funding is made with a percentage of each investors money.
Posted in Miscellaneous