Private money lenders are individuals or firms that provide loans secured by real estate assets. They operate outside traditional financial institutions, offering more flexible terms and faster approvals. These lenders are often used by real estate investors, developers, and house flippers who need quick funding for time-sensitive projects. Unlike banks, private lenders focus on the property’s value and investment potential rather than credit history. Loan terms are usually short, with higher interest rates reflecting the increased risk. Private money lenders can be a valuable financing resource for those seeking speed, flexibility, and creative deal structures in real estate investing.