Posts Tagged ‘hard money lenders’

Refinance To Avoid Foreclosure

Jun 2nd, 11 / 0 Comments

Foreclosure remortgage answers can be discovered amongst banks and various financing resources that offer financial aid to customers going through imminent troubles of houses and property. If you understand somebody desperately attempting to stave off being repossessed, but are not able to meet their mounting month-to-month home loan payments, there is help by way of several financial options. The a lot beneficial choice is a foreclosures remortgage hard money loans which gives a way to recalculate an original mortgage loan by restructuring a loan as a result of interest charges and pay off terms. A manageable loans package can let a home-owner to meet up with financial obligations in a well timed manner, circumventing houses folding.

Foreclosure remortgage loans become necessary as a result of any number of legitimate, personal and business enterprise financial hardships. Many consumers encounter disastrous financial consequences such as credit difficulties with their houses, bankruptcies, and burned credit that follows them for years. Households possess even ended up homeless as a result of surprising job loss or a devastation disease which exhausted each and every last dime these folks may scrape together. Earlier than the endure blow of hardship is struck, many of these people have to encounter the loss of home and property as a end result. There is wish as a result of most foreclosures remortgage sources which help constrained customer resources.

In purchase for these financial resources to be capable to help, it is vital that a home-owner safe foreclosure re-finance solutions in the early phases of financial catastrophe prior to lacking over 2 or 3 weeks of home loan payments. Typically a shopper has a little window of time once the residence ownership and his or her own personal credit remains salvageable without major repercussions. Amid all the stress and pressure which traumatic situation put on a shopper, it is outstanding really critical to be aware of which pane of chance that is possible with the correct source. 

Financial institutions and other home loan manufacturers which possess experience in offsetting these homes through a variety of loans generally present free financial advice. It is ideal for home owners to ask various resources for financial direction in order to ascertain the greatest course to go when dealing with doable foreclosure. Foreclosures hard money lenders re-finance loans usually have two fundamental demands for home owners in order to approve a loans. The house owner must usually have accrued at least a minimal of 30% equity and it is very best if the home-owner’s credit score score has not slipped substantially at that point.

Mortgage Refinance, Mortgages

Good Credit Not Required for Hard Money Lenders Funding

May 24th, 11 / 0 Comments

Real estate investors can be funded by hard money lenders even with bad credit ratings.  These asset based lenders are more interested in the collateral securing the loan than they are concerned about the credit of the applicant.  Banks and conventional financial institutions have stern credit requirements especially in the current lending environment.  Private hard money lenders are open to funding deals submitted by real estate investors regardless of credit and even in situations when the applicant has had a foreclosure or even a bankruptcy.

The first step for a real estate investor is to summarize the reason for any financial setbacks which could have been a period of unemployment or medical expenses, for example.  The letter of explanation will not generally keep the lender from approving a loan.  Next, the investor needs to present a solid loan package that is complete will all documentation.  The lender is very focused on the exit strategy presented according the investors plan.  

Having a solid exit strategy can mean that the real estate investor already has a suitable buyer for the property who has already qualified for a conventional loan.  Generally hard money lenders will loan for anywhere from three to nine months and proffer the borrower with options for extensions, if necessary.  The lenders are concerned about fashioning certain that the borrow has an adequate amount of time to complete the exit strategy.  For example, the property can be a planned rehab in which the borrower will renovate the property and increase it’s value and then sell the property for a profit.  Rather than pinning the loan qualification on the borrower credit, the lender focuses instead on making certaint that the borrower has adequate experience in rehabbing property.  Real estate investors can also hire an experienced contractor to complete the rehab and that is usually in keeping with the lenders program

Credit ratings truly have little to do with investment property transactions because the collateral is generally inside a range of 65 percent of the property value as determined by the quick sale of the property.  That loan to value rating is adequate to protect the interests of the lender.  In fact, sometimes the real estate investor has used a Limited Liability Company or a Corporation to do the property transaction to ensure that there are no other potential liens that could be attached to the property.  While the private hard money lender may charge a slightly higher rate to an individual with poor credit, that is also the norm in conventional bank loans.

Investing with credit blemishes is possible if the investor can meet the requirements of private rehab hard money lenders and establish a business relationship.  Once the investor has successfully completed the transaction, the lender is able to fund other property deals submitted by the investor.  Some lenders will eventually permit loans to be made on more than one property deal at a time.

Real estate investing is dependent on private money during these economic times and has created a situation for helping the market to recover much quicker than hoped-for in many of the local markets, such as Southern California, Florida, Phoenix and Las Vegas.  It is projected that more private money will continue to flow to invesors.

Mortgage Refinance, Mortgages

Finding Hard Money Loans For Construction

May 11th, 11 / 0 Comments

Hard money loans are a financial settlement regarding a construction venture that is so dangerous a bank will not look at financing it. Traders who again these financial agreements are willing to take high hazards for high revenue returns, so a hard money makeup loans can usually be 4 or 5 points over a financial institution lending agreement in interest rate and additionally have the inclusion of four or 5 original price points. Because a single direct is equal to one % of a loans’s value, these added costs can be quite pricey in a million greenback composition loan that is in fact a very economical venture in today’s bucks.

Generally the hard money lenders of kinds of transactions base their willingness to lend for larger risk tasks because of their own personal know-how of the property beneath consideration. The willingness to lend the cash is primarily based in the knowledge of which the property or property is genuinely worth and the trader can then concur to lend for about sixty to seventy % of the property value. In a lot situations, a loan provider can call for that the consumer put up the leftover amount of the lending settlement necessary for the project, most of the time requiring it to be the customer’s own property and often making it possible for twenty percent of the remaining thirty % to be a mezzanine loans. Also in this scenario, in a lot cases a bank wants to see minimum ten % of the customer’s cash in the undertaking. 

The worth of the property in query and the carefulness of the provider of the challenging money structure loans to only finance 60 to seventy percent of its really worth provides most real security to the high chance investor. In addition, these sorts of lending agreements are short term, often long lasting a year or less. For example, a builder finds out a lovely farm close to a metropolis is about to go as a market. These five hundred acres would make lovely home locations for ritual houses costing over a million dollars each. The family who has owned the land for sixty years is inquiring ten thousand bucks per acre for this quite primary land and will not sell in parcels but solely in its entirety. An buyer in the city is inclined to craft a challenging money architecture loan to the builder for three and a fifty percent million bucks and five factors. The five points total volume to a price of one hundred and seventy 5 thousand dollars simply for the privilege of borrowing the elevated curiosity cash. 

Mortgage Refinance, Mortgages

Investors With Poor Credit Get Private Hard Money Lenders Attention

Apr 15th, 11 / 0 Comments

Guidelines for approving credit applications have become more rigid  in regards to getting a mortgage loan.  Individuals who are rebuilding credit or who have no credit have few options.  Traditional lenders practice these credit standards to both buy and refinance.  Once easy, a cash-out refinance is now more difficult.  Individuals who have sufficient equity in their homes are now turning to hard money lenders in order to pull cash from the equity of their properties.   

Usually a private rehab lender will only consider equity if there is a sufficient amount  in the property is sufficient to warrant a 50% to 65% loan to economic value.  Under special circumstances, an individual can get up to 70% if cross-collateralization is also used.  These lenders also charge a significantly higher interest rate and the loans usually run anyplace from 3 month to one year.  In rare situations, the loans are for up to 3 years.  Funds from this type of a loan are usually used for a commercial enterprise or investment purpose where the return will exceed the costs of the loan and facilitate the pay back to the lender.   enable the borrower to repay the loan within the alloted timeframe.

While private hard money lenders usually focus on investor hard money, sometimes these loans are made on owner-occupied homes.  The reason the lenders prefer non-owner occupied homes is to nullify the consumer laws that protect individuals, relating to foreclosure and other consumer protections.  The availableness of hard money can be a much better choice than a pay day loan, because the costs of the loan are considerably lower and the borrower can borrow much more money.  

Individuals who have gone through bankruptcy can still qualify for private hard money.  In fact, individuals who have foreclosures can qualify for private hard money.  However, if the hard asset that is securing the loan is encumbered by tax liens, or judgements, the lenders prefer not to loan on properties where it is difficult to recover the property in the advent of a default by the borrower.  Investors frequently have credit blemishes and this problem has not afflicted lenders from getting funding through a private money loan source.  In that case, the hard money lenders evaluate the strength of the hard asset securing the property.  The lender also formulates a quick sale value to determine what can be done with the property in the case of the borrower defaulting on the loan.  

Lenders require that investors have  an exit strategy.  The exit strategy deals with how the loan will be paid back and within what timeframe.  This is a major consideration to the lender because it indicates the odds and probability that the loan can and will be repaid .  Lenders are generally seeking stronger investor exit strategies and prefer situations where the investor already has a pocket purchaser, or a lender approved buyer   for a established mortgage loan.  

For credit challenged buyers and investors , the key is to concentrate on developing a strong exit strategy that can be presented to the lender.   Fortunately, loans of this type can still be completed  very quickly and funding within 24 to 48 hours is not uncommon.  In addition, rehab hard money loans are also made by these lenders to facilitate the acquisition, remake and sale of bank owned and government owned real estate.  Transactional lenders and flash funders also fund investors who have pocket buyers and this type of funding is on the upswing. 

Mortgage Refinance, Mortgages

Rehab Hard Money Lenders Investing With Positive Mindset

Mar 19th, 11 / 0 Comments

Lenders are dealing in that favorite commodity, which is money.   They like people who want to make earnings.   You’ve probably wondered about asset based lenders who loan to people who have poor credit, including bankruptcy or mortgage default .   How could that be?  It just goes to show that your mindset makes a lot of difference of opinion.   People who keep working to succeed, usually do.   It’s true.    

Just making a mediocre effort and you’ll not taste the sweet success of getting a deal done and making a lump sum of cash.   So, ask yourself today–”What is it that closing that next deal and making a lump sum of cash, would enable you to do?”   Right now.  Today.   That is your motivation and have that motivation to template you to success .  

Obstacles are your stepping stones because each obstacle, shows you exactly what you have to do to get to the next step.   The rehab hard money lender thinks your LTV (loan-to-value) is too high?  Find a property that is better and more profitable.   The lender says they don’t lend in that market area?  Work on the market area where the lender does lend, or find another lender.   The lender says they don’t loan on homes with only one bedroom ? Sharpen your investing strategy.

The lender says there is a fee for a property appraisal and you don’t have the money to fund it?  Bring in a partner because it’s  much better to get a deal done and split the profit instead of making no profit.   You hear an investor talk about the type of deals he/she is looking  for?  Keep an eye out for those deals and make money by assigning contracts along the way for smaller lump sums of cash that keep you euphoric while you work on the bigger deals .  

Unsure of yourself when you are putting together a Loan Package? Learn how its done and practice, by putting together an entire application, including the loan documents.   Had a lender ask you about your deal over the phone but you were not prepared to give a concise pitch to summarize your deal and what you need?  Spend an hour putting together a  5 minute pitch about your deal and pen it down on a 3 by 5 card so you will be ready next time .  

Did you take a course on investing sponsored by some “GURU” that taught you how to write offers on properties?  How about trying to do that knowledge and setting a goal to actually write 5 offers this month?  Need a POF letter that gives your offer credibility to attach to your offer?  Take it up with hard money lenders and ask if they will give you one if you bring them a property deal that matches their loaning criteria.   Having difficulty finding property? 

Contacting lenders and real estate agents and mortgage brokers  will help to get relationships going with some REO agents and learn where to source REO property.  Theres a fortune in equity there just waiting for someone to monetize it.   Haven’t talked to any buyers lately?  Fix it.  Get a system in place so buyers are calling you and asking for property. Talk to homebuyers, talk to investors, talk to your friends and relatives.  Let them know what you do.  They will help you get to the buyers.   Need help writing your  exit strategy?  Attend your nearest real estate investor club meeting and begin networking and making  friends .  

You will build a powerful mindset through action and effort.   You’ll feel more surefooted.  The end result is that you will be ready and also more organized.You will start beholding how to help people with their housing needs and start understanding that the deal is founded on creating a mutually beneficial outcome .

Mortgage Refinance, Mortgages

Getting More Private Hard Money Loans

Mar 19th, 11 / 0 Comments

Successful real estate investment? is dependent upon the law of averages.  Making more offers increases the likelihood that your offers will be accepted and acquiring additional viable property, builds the odds of getting your deals funded and closed. Private hard money lenders are looking for solid deals.  They want to develop relationships with serious investors who understand the fundamentals of the real estate investing game with hard money lenders.  Real estate investors receive private hard money loans when they submit loan packages to hard asset moneylenders regularly .

Everyone knows who Babe Ruth was, even though we never got to see him play.  In fact, not only a great hitter but a great hitter as well.   Babe was known as the “Sultan of Swat”.  His home run record of 60 home runs stood from 1927 to 1961.  His 714 home run record stood until 1974.  Even in 1999 he was remembered as the third greatest sports figure of all time, behind Mohammed Ali, and Michael Jordan. His most amazing record is still a record. .  Babe Ruth still holds the coveted record of the greatest slugger of all time. .  

How you calculate the percentage for slugging is the number of bases reached on hits divided by official times at bat, expressed as a three-digit. In other words, Babe reached the bases on hits more than any other player in the history of the game. The point of this story is to prompt us that it isn’t necessary to always hit a home run to be a profitable investor whether in commercial or residential property and whether with private hard money or rehab hard money .

All serious realestate investors should be getting those “hits” using a combination of strategies. Some properties may go under contract and be assigned to another wholesale investor and make you a smaller lump sum of cash.  perhaps anywhere from $500 to $5000, or just do a contractual assignment to another investor/buyer

Some properties may get funded by a transactional funding lender just because you already have a buyer. Some properties may get funded by a traditional private hard money lender and quickly be “flipped” for profit.  And some properties may get funded, rehabbed and resold.  These types of properties are funded by rehab hard money lenders.  Some properties may be taken over on “subject to” contracts with owners, leaving the original financing in place.

Some properties may be taken over using Option Contracts where you control the property for a certain period of time. Some properties may be taken over using Lease Purchase .  Option contracts where you generate every month cash flow by putting a tenant in the property and collecting a lump sum of cash as “option consideration” and later on when the tenant/buyer finances the property you get a larger lump sum founded on the then market price of the property .

Some properties may be acquired through owner financing where notes are used in lieu of cash or down payments. Often time, property is purchased by purchasing tax deeds and tax liens and then earning an first-class percentage return guaranteed by the state and then if not redeemed you wind up getting the property. Some properties may be acquired by putting together simultaneous deals and exchanging equity from one property to another.  

Some properties may be acquired by using seller financed 2nd mortgage notes that you created when you sell a property. Some properties may be acquired by working with a partner who puts up the down payment money while you find the properties and put the deals and rehab hard money lenders together.  Private hard money lenders appraise each element of a loan package that will give it strenghth and thin out risk, whether it be your exit strategy or even adding a partner to the deal.  It could be a carpenter, a pipe fitter, an electrician, or evenyour dentist! Good investment property may be acquired using cross-collateralization of other special use properties owned .

Deals can be put together by with partnerships with rehabbers or contractors who will contribute their work while you find the deals and put together the funding.

As you can see.  There’s more than one way to “get on base” with real estate. Babe Ruth may have been the “Sultan of Swat”
and he did hit lots of home runs but he also made sure he made lots of hits.  His slugging percentage record is a testament to that.
The point is, if you look at each deal creatively , there is always more than one way to monetize it.  It doesn’t seem like much to assign  to another buyer of a contract for $500 until you realize that you may only have a couple of hours of your time into the whole deal and it gives you cash flow. And many assignments go for $2500, $5000, $10,000 or more .

Have fun with your real estate investing. Be creative.  Put together win-win transactions. You will always make more money taking this
approach. Successful investors in both residential and commercial know the secrets to success in baseball and it worked for him.  And along the way, he also made the “home runs”.   You can too.
Consider some of your recent properties.   Were there additional ways you could make money on them?  And are there additional ways you can make money on the deals you have now? We talk about having “pocket buyers”, including home buyers and investors. These “pocket buyers” can also be people with $5000 or $10000 cash down, ready to do a lease option or a seller financed deal .

The principle of ready cash buyers is so significant because it gives you MORE flexibility. And having access to the very great property deals–that is absolutely vital.  Carry your Loan Packages with you.  Be ready to do deals where ever you go! Deals attract money. Build your net worth and control more assets and lenders take a more serious look at your projects. Keep up the good work and keep your attitude high.  Getting your residential investment property and commercial investment property funded by a hard money lender can be accomplished if you focus on Following the required steps of funding a hard money loan.

Mortgage Refinance

Communicating With Private Hard Money Lenders Programs

Mar 19th, 11 / 0 Comments

Are you talking to the right private hard money lenders ? Even more significant, are you speaking their language? The most successful real estate investors invest their time sagely.  They also make certain that they are talking with the right lenders for the right deals.

If you bring the right deal to the proper private hard money lender, chances are that you can get your rehab hard money deal funded quickly and easily, usually in 24 to 72 hours. But what happens when you bring your deal to the wrong lender?  Or perchance you just don’t seem to know what you are talking about and your deal isn’t presented properly?

You will probably not get a deal funded with the ledner doing it that way . You wind up wasting your time and the lender’s time.  So, how do you avoid the frustration and get your deals done fast? First, know your lenders.  Learn the lender programs and what type of properties they are presently financing.Know your deal and prepare your loan package correctly. If you want to invest in a specific  real estate market area, learn about all of the local private lenders who fund deals there.
Some lenders only work with a few lenders but you should really know who all of the private hard money lenders who loan money in that specific geographical area.  It’s a combination of know who and know how. Why is that so important?  Because when you know your lenders, you know their lending conditions, which helps you get more deals funded, more consistently.

A private hard money lender’s program is the most important aspect.   If you have a single family residential investment property, obviously you don’t bring that deal to a commercial private hard money lender.  And the same thing goes for residential private hard money lenders, they are not interested in funding the types of properties that are not in their portfolios.

Investors learn to bring their best deals to the lenders who want those types of deals now, not later. If you know 10 dissimilar private hard money lenders who loan in that area, you can compare the terms of all of them and you’ll be in a much better perspective to get your funding.  Can you submit your deal to more than one lender at a time? Absolutely, it’s your business.  And it’s probably not a good idea to tell a private hard money lender that you’re shopping your deal to 5 other lenders.  Just keep it to your self. You should always have a back-up lender in mind.  

But always be gracious to your lenders.  Thank them for their time, and the opportunity and ask if they would like to see some of your future deals.  Buiild relationships and you’ll soon see your business and profits growing.  Whatever you do, don’t burn your bridges. Never argue with a lender or tell them they don’t know a good deal when they see one.  These lenders have substantial experience and know what types of deals are better than others . If the deal isn’t a match for both of you, the deal is not a match, simple as that.  But that doesn’t mean your next deal won’t be a match.  Maybe it’s just short of a bedroom to qualify or it’s in the wrong part of town, or the LTV is a tiny bit too high.  

Next time, a different deal and a fresh start. That is, if you speak their language.  If your loan package looks “amateurish” or “sloppy”, or is incomplete, you’re lender will treat you like an amateur.   You don’t want lenders avoiding you by not returning a telephone contact.   Or they may not send a reply to your e-mail.  Why, because they have too many good deals to look at and they don’t have time to waste.  Nothing personal, it’s just business.  You don’t have to put yourself in that position. Make sure you are proud of each and every loan package you assemble.  That loan package is your bread and butter.  Lenders want to fund solid deals that will be profitable for both you and the lender.

Private hard money lenders don’t want to spend their time tracking down documents.  They want to get the deal done. Make sure your Lloan package is correctly prepared the first-time If your deal is the greatest there is but you are difficult to work with, you’ll likely not get far. 

What are some other advantages What is the first step of knowing your lender?  Points and fees can vary widely among different lenders.  So, once again, knowing your options can make your deals much more profitable.  And suppose you have a property that needs a rehab? Again, know who are the rehab lenders in that geographical area and don’t waste a moment of your breath trying to convert a private hard money lender to become a type of lender they are not .  

Once you know your lenders and you know the lender’s conditions, you are in the sweet spot.  You now know exactly what types of property to look or that have the greatest likelihood of getting funded. If you’re doing it the other way, it’s like climbing up a mountain or swimming against the stream.  It’s alwasy better to know the lender programs and first find the money.  Then finding property that can be funded can be easilyestablished.  The Private Money Lenders Source was developed by perusing the lending programs of 300 of the top private hard money lenders for residential and commercial investment property.

Mortgage Refinance

Real Estate Investors Find Private Money

Mar 13th, 11 / 0 Comments

As real estate markets begin to settle, investors are doing more deals which involve REO, bank owned property, and government agency owned property.  The inventory of property held by banks is still increasing and investment groups and individuals are closing property acquisition business enterprise deals.  Real estate investor deals for these REO properties are mainly funded by private hard money lenders who offer a short term funding alternative, from which an investor can utilize to purchase investment deals. Investors are using a variety of exit strategies but the most common involves buying property and selling to a homebuyer at a profit within a short term.  Generally the property is placed on the market using the multiple listing service and then resold to a homebuyer at a retail price passably lower than the market value of the property property .  Residential values have remained in a holding pattern, and are stabilizing rather than declining further.

In as much as, property inventories have continued to rise , creating a buyer’s market situation.  However, this has been impacted by the fact that banks holding properties at the current time do not account for shadow inventory of pending foreclosures and homes mortgages in default or in the process of being foreclosed by the banks or government agencies that financed those properties for homeowners .

Without real estate investor deals reducing the REO inventories by using rehab hard money to repair the REO properties and prepare them for market, the banks inventory would be substantially greater than it is.  The increasing number of deals being facilitated by private lenders has enabled banks to cut losses and get out of the business of maintaining properties and the expenses associated with.  In the future, it is hoped-for that more investor money will enter the market as market conditions dictate that many local real state markets have stabilized and are ready to begin recover.  Many markets have already begun to experience price increases on a month to month basis, albeit not as substantial as in prior years, and a good signal impacting both homeowners and residential property investors.

Conventional banks and mortgage companies have been very passive in developing any lending programs that work for the investors to acquire non-owner occupied property.  At one time these conventional lenders would enable investors to purchase entire portfolios of property .  Now it is difficult for an investor to acquire even 1 or 2 properties using conventional lending sources.  Because of that the investor has turned to private money. 

These private finacial companies are leading the way by developing aggressive loan programs to enable not only purchase, rehab, but also in some cases loans that extend for up to 4 years enabling an investor to buy a property and use it for depreciation and tax advantages as well as appreciation strategies and can be resold for a profit.  These types of deals enable the investor to have more flexibility and a better profit margin.

Mortgage Refinance, Mortgages

Private Rehab Hard Money Lenders Beat the Banks

Mar 10th, 11 / 0 Comments

Not too long ago , real estate investors were able to get bank and mortgage company loans on investment property
easily.  Even for rehab… Loans were flowing like oil   No DOC… State Income…680 Middle Credit Score…Some banks had 3, 5, even 10 properties limit…Minimal seasoning requirements and on buying property and refi …80/20 loans that eliminated down payments…Pay option ARMS starting at 1% interest….Broker appraisals and 100% LTV loans….And even real estate investor loans with cash out .

The “Bubble” has burst on conventional lending and ….those days are over and people who engineered those collateralized debt obligation securities may end up in jail.   So where does a real estate investor go for your deals in today’s market ? Today, A few real estate investor loan programs exist but the requirements are stringent:

Full documentation of income and all other loan requirements.

Average credit scores just don’t pass muster on conventional loans nowdays
And banks are not approving tarnished credit loan applications …

stern one property limit and RIGID lender guidelines and loan examination by oversightagencies.

There seem to be lots of games with seasoning .

Conservative bank appraisal.

Larger down payments are required

Higher interest rates …good-bye Pay Option ARM, no interest only payments.

More bank fees and costs …

Banks are avoiding rehabbing deals ….

and no cash out .

The underwrting process at a bank that takes 3 to 4 weeks and longer and usually just “sputters out”, with no other explanation than, “things are tough”. in the meantime, private hard money lenders have continued to loan money to real estate investors through thick and thin, even in these tough times–
Higher amounts of private hard money loans on investment property are being made than ever before!

Just evaluate the basic principle of a private hard money loan to the bank or mortgage company investor loan program .

Private lenders :

Minimal credit or low credit scores okay

Loans up to 100% of purchase price with LTV’s ranging up to 75%

Rates slightly higher than the conventioal rate (if a bank or mortgage company was REALLY lending)

No loan committes to deal with

Flexible ways to determine property value and don’t require paid appraisal or do a simple “drive by appraisal” of their own .

Fewer restrictions on how many properties as the rehab hard money lender develops successful relationships with a real estate investor .

Seasoning doesn’t matter with deals able to close in one day.

Bankruptcy and even foreclosures and even some collections permitted with explanation.

Higher interest rate, and points.

Interest only payments and some have NO PAYMENTS for the continuance of the loan.

Cross-collateralization of property permitted.

Shorter terms of 3 months, 6 months, 12 months with some going as long as 5 years.
Additional funds for rehab hard money available based on the deal

Processing, approval and funding in 48 to 72 hours and in some cases as quickly as 24 hours.

And then you can get on with your next deal!

As you can see, private hard money loans are exactly what today’s successful real estate investors need. All you need to know is–who the private hard money lenders are, what their programs are, how to contact them and how to issue a loan package on a great investment property that matches their program .

Real estate investors don’t need to waste hundreds of hours of time trying to figure it out where to place their loans.  The Private Money Lenders Source was originally created by www.OPMCredit.com by studying the needs of real estate investors to secure private hard money loans.  It now has the 300 top private hard money lenders including rehab hard money, who loan on residential and commercial investment property, nationally, regionally, and locally.  Real estate investors are able to deal direct even for rehab hard money from these private sources

The key principle to profitable investment in today’s market is to know the hard money lenders programs and conditions. And few other sources details the lender programs whereas the Private Money Lenders Source does.  As a resource it is the key source for private hard money lenders for both seasoned and novice investors for all types of investing.

Mortgage Refinance

Private Hard Money Lenders Basics

Mar 6th, 11 / 0 Comments

There’s no enigma to getting a loan from a private hard money lender.   Ever wonder why successful real estate investors are able to do 1 or 2 deals every single month ?

They copy success.

Edit this texThere are four basic stepst

Step 1-

Don’t just sit on the sidelines.

Investors who are getting it done are submitting loan packages to private hard money lenders. They might submit the same property to several lenders to get it closed. They might submit several deals each and every month.  They make a couple of good offers aweek, week after week

Step 2-

Try not to become obsessedt with the property.  alternatively, fall in love with getting regular deals done.

outlay month after month trying to find a lender who will fund that one property that you think is so great.  Swinging for “home runs” for $100,000 instead of going base for hits like $10,000, $20,000 or more.  Working against the grain.  none of these approaches work. Instead, learn lender conditions and what kinds of properties they are lending on, including for rehab hard money, and go get those properties that match up .

Step 3-

Do your preparation.  

Poorly prepared with incomplete documents usually don’t get approved, and if they do get approved , sometimes it just takes too long and you’ve already lost the contract.  Lenders can usually help you get your loan closed in just a few days once they get a complete package.  Some can do it in as little as 24 to 48 hours.

Step 4-

Keep your eye on appreciating geographic areas so you can build a database or card file, of qualified, loan approved end buyers . 

Once you have a lot of buyers who you know who are looking for property now, you can flip your property faster and get on to your next deal. The private hard money lenders will love you! And all the time you’ll be building a bigger and better file of qualified buyers . And you’ll be building solid relationships with private hard money lenders to fund your deals .

So, don’t let “analysis paralysis” to cause your business bogged down.  Don’t “out-think” yourself. Not every offer you make is going to get accepted  and not every loan package you submit is going to get approved and if you model the succesful investors you’ll also get more deals and , many offers approved and many, many loans approved, and many, many properties sold.

And that is just successful investors do .  And they make a lot of money doing it. The Hard Money Loan Blueprint shows you how to put together a Loan Package to submit to a private hard money lender .  Once you understand the process and what the lender needs, you will have much more success, Taking the unknowns out of the equation and doing your deals step-by-step, from start to finish, successfully .

Mortgage Refinance