Unique loan question

[BigSky4]

A friend of mine suggested I post this here.

Basically what I am looking for is a loan for the amount of $250,000 for various cost’s associated with a real estate deal that I am working on. The problem is that I will not be able to use the land I am working with as collateral for the loan for various reasons. I would need the loan within the next month, and would be able to repay the loan in approx. 14 months. I would be willing to pay 3.3% interest monthly (40% annually) paid monthly for the life of the loan (approx. 14 months).

Now to the interesting part and the part I have a question about. My family, more specifically my grandparents, father and myself own a large ranch that is worth approx. 8 million dollars. The ranch has been in the family for several generations, and will be turned over solely to me upon the death of my father (hopefully many years from now).

I am curious as to if there is any way to use this ranch as collateral for the loan I am seeking. So as I said above I would be willing to pay 3.3% interest monthly for the loan, and only plan on needing the money for a little over a year. Assuming I was not able to repay the loan as I stated above, the party loaning me the money would continue to accrue the interest as stated above until I either paid them off or I obtained the ownership to my ranch. Upon me gaining full ownership to the ranch the loaning party would be repaid in land, or by me selling the land and paying them the interest up to that point, including the original $250,000.

Now, obviously my plan would not be to have the above scenario played out. I am fully confident that I would be able to pay the full amount back in just over a year, but I understand that my word will not be enough for this amount of money, and am curious if the option I stated above is viable.
A friend suggested I post this here.

I would appreciate if you guys could help me out and let me know if this is even possible, and who I could possibly contact to get the ball rolling. Thanks for your help.

[CrushinFelt]

[ QUOTE ]
A friend of mine suggested I post this here.

Basically what I am looking for is a loan for the amount of $250,000 for various cost’s associated with a real estate deal that I am working on. The problem is that I will not be able to use the land I am working with as collateral for the loan for various reasons. I would need the loan within the next month, and would be able to repay the loan in approx. 14 months. I would be willing to pay 3.3% interest monthly (40% annually) paid monthly for the life of the loan (approx. 14 months).

[/ QUOTE ]

I stopped reading at this point. Is this a joke?

[kimchi]

[ QUOTE ]
I would be willing to pay 3.3% interest monthly (40% annually) paid monthly for the life of the loan (approx. 14 months).



[/ QUOTE ]

The thing that amazes me is that these people wouldn't keep posting these things if they weren't able to keep scamming people.

Who are the people that fall for this kind of stuff?

Oh, and if it's genuine, stick it all on your Mastercard - you'll save a packet. I'll only charge you 1% for that piece of financial advice.

[BigSky4]

[/ QUOTE ]

The thing that amazes me is that these people wouldn't keep posting these things if they weren't able to keep scamming people.

Who are the people that fall for this kind of stuff?

Oh, and if it's genuine, stick it all on your Mastercard - you'll save a packet. I'll only charge you 1% for that piece of financial advice.

[/ QUOTE ]

Everything I said is 100% legit, and easily verifiable. I obviously didnt plan on someone on here writing me a check for $250,000, but was just looking for some advice as far a where perhaps I could find someone who was interested.

[midas]

Big:

Assuming you are 100% legit:

For what reason would you need that kind of money unless you were actually taking title to a piece of land?

This type of risk demands profit sharing not just interest. Form a partnership - give the money guys the first money out, then 12% interest, then you take a management fee or deferred salary fee, then offer to give the investors 30% of the remaining profits. If you actually invest money side-by side with the other investors you will super-charge your investment returns.

[PanchoVilla]

Midas details a proposal there that you would have a much better although still slim chance at finding someone to invest in especially given your short time frame. I am curious what the reason is for being unable to encumber the target property with a mortgage. That smells like bad news, so you should be prepared to explain in detail the reason for this. Your initial proposal would require lots of lawyerin, and you would have to provide the will, prove, who owned the ranch and how much equity is in it, etc, etc.

Another possibility would be to structure it where the investor owned a portion or even a majority of the actual property in question with a contract for you to get a fee that was some percentage of the profit after the loan was paid off.

I compare this to prosper loans. I never bother loaning to the people who want to borrow money for real estate related ventures or to expand their business. If I am taking that kind of risk then I want a return that reflects that. Ie some ownership or % of the return instead of interest.

Pancho

[JacKnight21]

$10K plus in lawyer fees would get the ball rolln. Be prepared to explain why the land cant be used as collateral!!! Since currently you have no ownership in the ranch good luck remember wills can be changed.

Not to be negative but so far you need to improve your sales pitch. Dumb suckers with money play poker not real estate.

[Brad1970]

BigSky,

Sounds like everyone else in this thread have made good points, so I will throw my .02 in the mix as well. FWIW, I am in the finance business as a career & the first thing that sprung to mind is:
1) How old are you?
2) Employed?
3) What's your income?
4) Any borrowing/credit experience?
5) Any personal wealth/investments to speak of?

By your post, it sounds like you are asking for somebody to pony up 250 large on something that might not ever work out. I do not know anything about "private financing" such as a venture capitalist, mob, etc maybe someone else here does. But before anybody in the lending business (i.e. banks, mortgage company, etc.) will talk to you, they are gonna need alot of documentation such as a business plan, financial statements, tax returns, any applicable Federal, State, or local licensing requirements, personal credit report, pay stubs, lien search on the property, etc.

OTOH, if you are "a kid with a dream", you may want to sit down with your parents/grandparents & have a heart to heart talk if you are really serious about this. Afterall, they are the ones who will have to foot the bill for this.

[NickNick]

Can't you just remortgage the ranch?

[RikaKazak]

If this is such a great deal, why won't your dad, who has a 8 million dollar ranch jump on the opportunity?

Something just sounds fishy about this deal. Not calling you a scammer, something just seems odd.