#206: The Pros and Cons of Buying Distressed Debt and Making Hard Money Loans with DJ SchollMar 29, 2023
From building a portfolio of $18 million in seller carry-back loans to originating $50 million in hard money loans, DJ Scholl has seen it all. So whether you're a seasoned real estate investor or just starting out, you won't want to miss this episode.
Listen to all our episodes and leave a review: HERE
Download Podcast: HERE
Subscribe: Apple | Google Play | Stitcher | Spotify
The Pros and Cons of Buying Distressed Debt and Making Hard Money Loans with DJ Scholl
DJ Scholl got his real estate sales license in Massachusetts when he was just 18 years old and sold his way through school. After a career change for about a decade, he got back into real estate as a licensed general commercial appraiser in the state.
In 1989, he started buying seller carry-back loans and lending hard money, building a portfolio of $18 million in seller carry-back loans and originating $50 million in hard money loans in the 1990s, one loan at a time.
He had raised $6 million in capital from a couple of retired bankers and kept rolling over their money.
During the crash in 2008, he had to step in and take over a $5 million loan he had made on a 26-unit waterfront condo project, he completed the conversion and sold the units, which took a few years, but he didn't make any money on that one. During the crash years, he was busy doing commercial appraisals for the FDIC, RTC, and others.
He maintained an office with two employees until about eight years ago, and since then, he has been doing deals with existing repeat borrowers and a few other experienced real estate folks. Most of his deals are creative.
He recently got paid off on a deal where he had made loans four years ago on 750,000 square feet of mill buildings used to grow cannabis in Massachusetts. He looks to establish relationships with experienced real estate entrepreneurs.
Connect with DJ:
We Need Your Help!
Thanks for tuning in to this week’s episode of the MFIA Podcast! If the information shared in these weekly conversations and interviews has helped you in your business journey, please head over to iTunes, subscribe to the show, and leave us an honest review. Your reviews and feedback will not only help us continue to deliver great, helpful content, but it will also help us reach even more amazing entrepreneurs just like you! You can leave a review by going: HERE