what is the difference between hard money and private money?

Hard money and private money are both types of alternative financing used in real estate investing. Hard money is a loan that is secured by real property and is typically provided by private individuals or companies who specialize in this type of lending. Hard money loans are typically short-term loans, with terms ranging from six months to three years, and are used for fix-and-flip properties, bridge loans, and other types of real estate investments. Interest rates and fees for hard money loans are generally higher than traditional bank loans.

Private money, on the other hand, is funding provided by private individuals, often referred to as "private lenders" or "private investors." These individuals may be friends, family members, or other accredited investors who are willing to lend money to a real estate investor. Private money loans can also be used for a variety of real estate investment strategies and are often used to finance fix-and-flip properties, rental properties, and other types of real estate investments. Interest rates and fees for private money loans can vary depending on the lender and the terms of the loan.
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In summary, Hard money is a loan from a specialized lender with high interest rates and is short-term, while private money is funding from a private individual who may have lower interest rates and flexible terms.