There are many hard money or Private Money Lenders, California included, throughout the United States, so researching one near you is not a problem. The Internet directory Moolahlist.com lists lenders. Rather than settling on one or two lenders, create a list of lenders in your area. Use a lender familiar with the property values around the investment home. If you have a hard time locating a lender, contact a local mortgage broker who may have names of private money lenders. Having multiple sources of quick cash is a good idea in case of rejection. Obtain each lender’s borrowing criteria to compare notes before settling on one. First of all, have a plan. The purpose behind a hard money loan is to provide capital to acquire an investment home which you intend to sell for a quick profit. To this end, obtaining a hard money loan requires that you have a plan for selling the property, which includes making any repairs. Knowing exactly how much you need — not only for buying the property but also repairs and maintenance — prevents you from borrowing too much. Before requesting money, estimate ancillary costs, such as repairs, maintenance and construction costs, and factor these into your loan application. Provide sufficient detail regarding the investment home, including any supporting documentation, to improve your chances of receiving a loan. Secondly, know the risks. California Hard Money loans carry higher interest rates than typical bank or commercial loans. A quick sale of the property is preferable, but this may not be the case in reality. You are responsible for making interest payments as long as the property remains unsold. You also face the risk that the property will decline in value or you will sell it for less than expected for a smaller profit or even a loss. In addition, the lender may foreclose on the property to recoup its money, leaving you with nothing to show for your work and effort
Dennis Dahlberg Broker/RI/CEO/MLO
Level 4 Funding LLC
Arizona Tel: (623) 582-4444
Texas Tel: (512) 516-1177
NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027111 Congress Ave |Austin | Texas | 78701
About the author: Dennis has been working in the real estate industry in some capacity for the last 40 years. He purchased his first property when he was just 18 years old. He quickly learned about the amazing investment opportunities provided by trust deed investing and hard money loans. His desire to help others make money in real estate investing led him to specialize in alternative funding for real estate investors who may have trouble getting a traditional bank loan. Dennis is passionate about alternative funding sources and sharing his knowledge with others to help make their dreams come true.
Dennis has been married to his wonderful wife for 42 years. They have 2 beautiful daughters 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.