Growing the Money with Rich Lennon

What if the real secret to higher returns isn’t chasing riskier deals, but structuring smarter loans? Most investors think 20% is the ceiling in private lending, until they learn how to fractionalize notes the right way.In this episode, Rich Lennon continues the deep dive into his fractionalized note strategy and shows how breaking a single loan into multiple pieces can dramatically increase your yield, without swinging for the fences. Rich explains how he underwrites deals, protects downside risk, and structures notes so that the lender gets paid first, even when things don’t go as planned.You’ll Learn How To:Structure loans so you get paid first and protectedUse fractionalized notes to boost returns above simple interestUnderwrite deals so defaults become leverage, not panicAvoid the biggest mistakes new private lenders makeDesign terms that bring borrowers back again and againWho This Episode Is For:Private lenders who want safer, higher returnsReal estate investors are tired of flips and rehabsPeople with capital who want to be the bank, not the contractorAnyone curious how experienced lenders structure real dealsWhy You Should Listen:Most people think higher returns require higher risk. Rich demonstrates why the opposite can be true when loans are structured correctly. If you want fewer moving parts, fewer headaches, and money that works harder than you do, this episode will give you the blueprint.What You’ll Learn in This Episode:[00:00] Why proper underwriting prevents losses, even in defaults[02:00] The rules Rich follows to reduce risk dramatically[05:00] How default actually gives power back to the lender[08:00] The hidden fees most lenders charge (and why Rich doesn’t)[12:00] When points, fees, and yield actually make sense[15:00] Real-world mistakes lenders make with draws and escrows[18:00] How Rich manages borrowers without micromanaging[21:00] Why does he avoid lines of credit and big banks[23:00] Inside Rich’s private money lending coaching programFollow Rich Lennon here:Website: https://richlennon.com/Facebook: https://www.facebook.com/rich.lennon.121Instagram: https://www.instagram.com/richlennon92/

What if a 20% loan could quietly turn into a 40–50% return, without incurring more risk and without requiring additional hours? Most people think you need bigger deals, more properties, or complicated funds to boost returns, but that’s not actually where the leverage is.In this episode, Rich Lennon breaks down the fractionalized note strategy he uses to turn simple private loans into outsized returns. He explains how he structures deals, why lazy money is the key ingredient, and how he protects downside while still earning lender-level profits. No hedge fund tricks. No Wall Street games. Just smart math and clean structure.Rich also shares how his own journey from rentals and flips into lending changed everything, more freedom, less stress, and better returns with fewer moving parts.You’ll Learn How To:Turn 20% loans into 30–50% returns using fractionalized notesStructure deals so investors win without increasing riskUse lazy money the right way and protect everyone involvedUnderwrite borrowers and properties like a true private lenderAvoid the big mistakes new lenders make when chasing yieldWho This Episode Is For:Private lenders who want safer, higher returnsInvestors are tired of managing flips, tenants, and contractorsHigh-income professionals who wish to make money work harder than they doAnyone curious how to scale wealth without scaling workloadWhy You Should Listen:Most investors think they need more properties to grow wealth. The truth? You often just need a better structure. This episode shows how fractionalized notes can multiply returns without multiplying stress, and how to turn lending into a low-hour, high-impact wealth strategy.What You’ll Learn in This Episode:[00:00] Rich’s story and how he shifted from flipping to lending[02:00] Why relationships and reputation matter in private lending[05:00] Mentors, hard lessons, and getting burned in real estate[08:00] Growing from rentals into a large lending business[11:00] The lifestyle shift, from 60–80 hour weeks to five[14:00] Return on equity vs. return on effort[17:00] Why sitting cash is more dangerous than most people think[19:00] The first time Rich used fractionalized notes[21:00] How a 20% loan turns into 30–50% returns in real numbers[23:00] Protecting investors and structuring downside properly[25:00] Why underwriting people matters as much as underwriting dealsFollow Rich Lennon here:Website: https://richlennon.com/Facebook: https://www.facebook.com/rich.lennon.121Instagram: https://www.instagram.com/richlennon92/ 

What if the real goal wasn’t owning more properties, but getting your time back? In part two of this conversation, Rich Lennon gets real about what happens after you build a big rental and flipping business. The long hours. The stress. The moment you realize you’re asset-rich… but tired. Rich walks through how he went from grinding 60-hour workweeks flipping and managing rentals to spending just a few hours a week as a lender, and why that shift completely changed his life.This isn’t a hype-filled quick rental tomorrow episode. It’s an honest look at the evolution most investors go through as their portfolio grows. When rentals stop being efficient. When equity starts working more slowly. And when lending quietly becomes the better move.You’ll Learn How To:Know when rentals stop being worth the effortUse your experience as an investor to become a smarter lenderThink differently about equity and efficiencyUnderstand why lending can outperform rentals long termReduce stress without walking away from real estateWho This Episode Is For:Investors burned out from flips, rehabs, and tenant issuesLandlords sitting on a lot of equity but feeling stuckExperienced investors looking for simpler, cleaner returnsAnyone curious about lending but unsure how it actually worksWhy You Should Listen:Most people never hear what comes after scaling a real estate business. Rich doesn’t sugarcoat it. He shares the mistakes, the mindset shifts, and the exact reasons he moved away from owning and managing more properties. If you’re wondering whether there’s an easier way to stay in real estate without the constant grind, this episode will open your eyes.What You’ll Learn in This Episode:[00:00] Why Rich stepped back from rehabs and construction[05:00] How experience as a flipper made him a better lender[09:00] The downside of holding too much rental equity[14:00] Why lending felt scary at first, and why it worked[18:00] The difference between active income and passive income[23:00] How Rich reduced his workload without leaving real estate[28:00] What most investors miss when they think about freedomFollow Rich Lennon here:Website: https://richlennon.com/Facebook: https://www.facebook.com/rich.lennon.121Instagram: https://www.instagram.com/richlennon92/

What if working harder isn’t the answer, and the real win is working less while your money does the heavy lifting? In this episode of the Proximity Podcast, Clayton and Stephanie sit down with real estate veteran Rich Lennon to unpack how he went from grinding through 60-hour weeks flipping houses to spending just a few hours a week as a private lender. No hype. No shortcuts. Just real experience, real lessons, and honest talk about what actually works over the long run.Rich shares his journey from engineer to investor, the mistakes he made early on, and the exact mindset shift that helped him stop chasing deals and start letting money work for him. If you’ve ever felt burned out by flipping, overwhelmed by scaling, or curious about private lending but unsure where to start, this conversation will hit home.You’ll Learn How To:Shift from active flipping to a more passive lending modelUse other people’s money the right way to scale responsiblyBuild trust so capital starts finding youAvoid early mistakes that slow most investors downThink long-term instead of chasing quick winsWho This Episode Is For:Investors burned out by flips and rehabsReal estate operators curious about private lendingProfessionals with capital who want smarter returnsAnyone who wants more freedom without leaving real estateWhy You Should Listen:Most investors never stop to ask if the model they’re using actually supports the life they want. Rich did, and it changed everything. This episode is an honest look at what happens when you stop trying to do it all yourself and start playing a smarter game. No sales pitch. Just real talk, real stories, and lessons you can actually use.What You’ll Learn in This Episode:[00:00] Rich’s background and how he got into real estate[06:00] Why hard work alone doesn’t always lead to freedom[12:00] The biggest mistakes he made early on[18:00] How relationships, not deals, unlock capital[23:00] Why lending became the ultimate leverage play[30:00] The mindset shift that changed everythingFollow Rich Lennon:Website: https://richlennon.com/Facebook: https://www.facebook.com/rich.lennon.121Instagram: https://www.instagram.com/richlennon92/

What if the strategy everyone praises for building wealth is quietly slowing you down once you already have it? BRRRRs are powerful. They help you buy properties, recycle capital, and build serious equity. But here’s the uncomfortable truth most investors don’t talk about: once that equity stacks up, your money can actually start working against you.In this episode, Rich Lennon joins the show to break down why BRRRRs are great at creating wealth, but terrible at growing it long term. Rich shares his personal journey from owning a large rental portfolio to stepping away from rehabs entirely and focusing on lending instead. The reason? Return on equity.You’ll Learn How To:Understand the difference between building wealth and growing wealthSpot when your return on equity is quietly shrinkingSee why infinite returns don’t last foreverReposition equity without selling everythingUse lending to make money work harder with less effortWho This Episode Is For:BRRRR investors with growing equity but slowing returnsLandlords who feel asset-rich but cash-stuckInvestors are burned out on renovations and property managementAnyone serious about scaling net worth, not just owning more doorsWhy You Should Listen:Most investors never realize when the game changes. This episode helps you see when it’s time to stop chasing more properties and start optimizing the money you already have. Rich breaks down return on equity in a way that actually makes sense, using real examples from his own portfolio so you can apply it to yours.What You’ll Learn in This Episode:[00:00] Rich’s background and how he built his rental portfolio[05:00] Why BRRRRs are great early but flawed later[10:00] The return-on-equity trap most landlords fall into[14:00] How equity growth quietly lowers your returns[17:00] The moment Rich realized his portfolio was holding him back[21:00] Why lending changed everything[26:00] How to think like a money manager, not just a landlordFollow Rich Lennon here:Website: https://richlennon.com/Facebook: https://www.facebook.com/rich.lennon.121Instagram: https://www.instagram.com/richlennon92/