The interest rates and fees for private money loans can vary widely depending on the lender, the borrower’s creditworthiness, the loan amount, and the terms of the loan. Private money loans are typically funded by private investors or companies, rather than traditional financial institutions like banks, and can be used for a variety of purposes such as real estate investment, business funding, and personal loans.
In general, private money loans tend to have higher interest rates than traditional loans because they are considered higher-risk investments for lenders. Interest rates for private money loans can range from 8% to 15% or higher, depending on the lender and the borrower’s creditworthiness.
Fees associated with private money loans may include origination fees, application fees, and other closing costs. These fees can vary widely depending on the lender and the loan amount, but may range from 1% to 5% or more of the loan amount. It’s important to carefully review the terms and fees of any private money loan before accepting it, and to compare the terms and fees with other lending options to ensure you are getting the best deal possible.