Question 1

What returns can I expect?

Accepted Answer

ProLend Capital targets 10%* annualized returns, paid monthly. Returns are driven by the interest income on the loans inside the fund. Targeted, not guaranteed.

Question 2

How is my investment secured?

Accepted Answer

Every loan inside the fund is secured by a first-position lien on the underlying real property. If a borrower defaults, the property serves as collateral. We maintain conservative loan-to-value (LTV) ratios under 70%, providing a significant equity cushion.

Question 3

What is a first-position lien?

Accepted Answer

A first-position lien gives our investors priority claim on the property in the event of default. This means our lien gets paid first, before any other creditors. It is the most secure position in real estate lending.

Question 4

Can I invest using my SDIRA or EQRP?

Accepted Answer

Yes. Many of our investors use Self-Directed IRAs (SDIRAs) or Solo 401(k)/EQRP accounts to invest with ProLend Capital on a tax-deferred or tax-free basis. We can connect you with a custodian if you do not already have one set up.

Question 5

What is the minimum investment?

Accepted Answer

$50,000 minimum. ProLend Capital is a Reg D 506(c) fund available only to verified accredited investors.

Question 6

How long are the loan terms?

Accepted Answer

12-month maximum loan term. Extensions available up to 18 months.

Question 7

How do I pick which deal I am in?

Accepted Answer

You do not. ProLend Capital is a single pooled fund, not a deal marketplace. You invest in the fund and your capital is allocated across the underlying loans the managing members originate.

Question 8

What types of loans does ProLend Capital offer?

Accepted Answer

We specialize in short-term bridge loans, fix-and-flip financing, and ground-up construction loans for residential and small commercial real estate projects.

Question 9

How fast can you close?

Accepted Answer

We can close in as few as 3 to 5 days as long as title is clear. Our streamlined underwriting process means less red tape and faster funding compared to traditional lenders.

Question 10

What LTV do you lend up to?

Accepted Answer

We typically lend up to 65 to 75% of the as-is value or 70 to 80% of the after-repair value (ARV), depending on the deal structure and borrower experience. Every deal is evaluated individually.

Question 11

What is the maximum loan term?

Accepted Answer

12-month maximum loan term. Extensions available up to 18 months.

Question 12

What happens if a borrower defaults?

Accepted Answer

We follow a structured process: first we work with the borrower on a cure plan. If that fails, we initiate foreclosure proceedings to protect our investors capital. The first-position lien ensures investor capital is prioritized in any recovery.

Question 13

Do I need perfect credit to qualify?

Accepted Answer

We focus more on the deal than the borrower credit score. While credit is considered, we evaluate the property, the business plan, the borrower experience, and the overall deal economics. We have funded borrowers that banks turned away.

Frequently Asked Questions

For Investors

For Borrowers