The private real estate lending industry has seen major growth over the past few years. After the 2008 financial crisis, banks tightened lending regulations, opening the way for private lenders to expand their operations.

In 2009, the American Association of Private Lenders (AAPL) was formed to represent the growing private real estate and peer-to-peer lending industry. Its membership includes private money lenders, mortgage fund managers, brokers and service providers from around the United States.

Linda Hyde has worked with AAPL since 2013 and has been its president for two years. Based in Kansas City, Mo., Hyde wasn’t familiar with private lending when she started. But she learned quickly, digging into reports and talking with clients to find what they needed. Her efforts helped grow the organization to a point where it now has more than 800 members. The 2024 conference had 851 attendees, compared to 60 members and 130 attendees when she started. 

What are the top priorities for AAPL in 2026?

One of our leading priorities for 2026 is creating high-quality educational resources. This November, we’re launching a new course designed to support the broker community and provide them with actionable insights. Private lending is becoming more sophisticated and transparent — and we are preparing for this shift in the industry by focusing on three key areas: education, industry standards and tools. To further strengthen the industry, we established a fraud steering committee dedicated to helping lenders operate safely and responsibly. We continue to develop tools and resources that protect stakeholders and reinforce the long-term health of the lending ecosystem. 

What are the biggest opportunities for private lenders in the next five years?

Over the next five years, private lenders will have a major opportunity to transform how they operate. This means reassessing their business models, choosing partners strategically and strengthening internal processes. There is significant potential in tightening operations, embracing efficiency and adopting new standards that position lenders for growth. By taking these steps, private lenders can continue building resilient, scalable businesses that thrive in a rapidly evolving market.

What regulatory or legislative changes are most likely to impact private lending? 

Regulatory and legislative changes are constantly evolving, and we remain vigilant in monitoring them. When new regulations are introduced, we evaluate them carefully — supporting those that benefit the industry and pushing back against those that threaten it. Most unfavorable regulations are withdrawn when we are proactive and ready to respond as a united group. Our focus is strongest in New York, Florida and California, where the most significant regulatory activity is happening.

One initiative we’ve supported is the expansion of accredited investor definitions — we even helped rewrite those rules a few years ago and continue to advocate for the changes we believe will strengthen the market. Legislators frequently target private lenders because they don’t understand our role. That’s why education is critical — helping policymakers see how private lending supports the housing market and contributes to affordable housing solutions. Looking ahead, fraud prevention will be a major priority. If we don’t take the lead in controlling fraud, it could invite restrictive legislation that would negatively impact the industry.

What is the importance of what you’re doing?

Private lenders play a vital role in revitalizing communities and expanding access to affordable housing. We finance properties that traditional banks won’t touch — including distressed or partially damaged homes — and make it possible for investors to bring them back to life. These investors are transforming neighborhoods that many people once avoided, turning them into vibrant communities where families want to live. By providing funding where banks will not, private lenders empower investors to rebuild, renovate and create homes that expand housing supply and improve entire areas. This work is critical to building new markets and strengthening communities. By partnering closely with investors, we not only provide financing but also help create opportunities for affordable homeownership and long-term neighborhood stability.

What is something you’re most proud of as AAPL president?

When I think about what we’ve accomplished as an association, it’s not just about growth or building an organization. On a recent podcast, I said, “Looking back, that success feels less like we scaled a business. It’s more like we built a home for an entire industry.” And that truly captures how I feel. AAPL has become a community, a family — a place where private lenders can come together, connect and grow stronger. For me, it’s never been about making a profit. It’s always been about asking, “How can we do more for this industry?” and then doing the work, quietly, behind the scenes, to make it happen. Now, as president, I’m stepping forward and sharing that story more publicly — not because I want the spotlight, but because this industry deserves to know the power of the community we’ve built together.