Monthly Archives: December 2017

How to Find the Right Commercial Real Estate Lenders for Your Loan

December 6, 2017Uncategorizedcommercial real estate lender, commercial real estate lendersbigdaddydennis

When you are looking at commercial real estate lenders to fund your loan, there are certain things you should look for and certain things you should know. Here’s what to look for when you need a loan.

“Shopping” for commercial real estate lenders can be a little daunting, and sometimes even challenging. But there are steps you can take to narrow down your search and make sure you find the right lender to fund your business or investment. Traditional lending institutions like banks are very difficult to obtain loans from, even in the best of circumstances and greatest economic climate. But don’t hesitate to look to other alternative lending institutions to fund your loan.

It’s important to find a lender that believes in your dream and truly wants to invest in you and making your dreams come true. If you already have a bank with which you have a close relationship, you may be surprised that this is the best place to start to see if these commercial real estate lenders will fund your loan. They will usually be able to negotiate a very fair deal, and it’s already an institution that you work with so you already have a trustworthy relationship.

If your loan is not accepted via your bank, you still have many options for commercial real estate lenders that will be willing to take on your loan and still work with you to get a fair and loan that works for your needs.

Start with a local search in your area.

Whether you look to another local bank, a credit union or a private lender, you still have plenty of options right in your own backyard. Do some research online for local lenders to see what information you can find. Try to learn as much as you can about the lender prior to meeting, and see what their requirements are to so you can be prepared for your first meeting. Alternative lenders may offer other loan options besides a traditional long-term long. There are many other loan options and sometimes these alternative loans are much easier to get approved for – so it’s a win-win solution.

Once you’ve found the lender you trust and who believes in you and your business venture, it’s time to get going!

Gather all your documents such as financial statements, credit report, business plan, collateral proof and anything else your lender needs to up the chances of your eligibility for a successful loan application process. Once you have all your ducks in a row, the process can go forth much more smoothly and easily. There is some preparation that you will need to do but you will be so much happier knowing you have everything ready when you need it.

Broker/RI/CEO/MLO
Level 4 Funding LLC Private Hard Money Lender
Arizona Tel: (623) 582-4444
Texas Tel: (512) 516-1177
Dennis@level4funding.com NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 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.

Technorati Tags: commercial loans,commercial lending,commercial mortgage

How to Find Reputable Hard Money Lenders

December 5, 2017Uncategorizedhard money lender, Hard Money Lendersbigdaddydennis

When you need cash fast, it’s time for a loan. Fast cash loans are usually handled through private hard money lenders versus traditional banks – but not all lenders are created equal so need to know what to look for.

Hard money lenders can help you get cash in hand fast which can come in handy for real estate investors and small business owners alike. However, not all lenders are as honest and ethical as you’d hope they would be. So there are a few things you should keep in mind before seeking this kind of loan.

First, you need to understand what hard money loans are – short-term loans in which the borrower can generally get cash in hand very quickly, sometimes even in the same day of application approval. When you are looking for a lender, look for someone who specializes in these loans and even within the specific industry or niche that you need the money for. You want to make sure that the lender is licensed. It’s also a good idea to meet with them to ensure they are really going to negotiate the best terms for you. Obviously, they are in business to make money, too, but as a professional they should be looking out for your best interest.

You should also ask questions, such as what types of fees, rates and terms are associated with the loan. Make sure that there are no “hidden fees” that will be uncovered later. You want to be confident that the person that is going to find you the right loan is really intent on doing just that.

Be prepared with what you need to know about the loan – and hard money lenders.

Do your research about your lender but ask questions that you need to know when you meet – about his or her areas of expertise, background, project profiles and any other items you might want to know that will help reassure you that this is indeed the lender that will help you get the loan you need, when you need it.

Be prepared to share what your lender needs to know to be able to help you get the loan you need.

Your lender will need some information, too, to be able to best help you. So bring your business plan, be prepared with your update to date credit history and score information (though in some instances of these types of loans, those won’t be scrutinized as much as a traditional lender or bank might), any information about equity or collateral that are you prepared to put up in the event that you cannot repay the loan, and any other business or personal financials that the lender might need to make an educated decision on how he can best help you get the loan of your dreams. You should also be able to share information about the timeline of your project and be aware of the timeline of the repayment schedule of the loan and if there are any penalties for repaying the loan before the end of the terms.

Technorati Tags: commercial loans,commercial lending,commercial mortgage

How Hard Money Lenders Can Help You Become a “Fix and Flip” Expert

December 5, 2017Uncategorizedhard money lender, Hard Money Lendersbigdaddydennis

When you start in any industry, you may need a little help or advice as you get familiar with the tricks and trades of the role. As a real estate investor that wants to “fix and flip” investment or foreclosure properties, hard money lenders can help you get started.

Real estate investing can earn you a pretty penny – but it also takes a few of those pennies to get off the ground. If you don’t have a lump sum of cash to put into this industry, you’re going to need a loan. Many foreclosures or auction properties require cash on the spot – if you don’t have it, you won’t get the property. Bottom line. So be prepare with cash in hand… a lender can help you with that part.

While there is definitely more to fix and flipping homes than people tend to believe due to the glamorize version of the job they see on “reality” shows on TV. If you are thinking about getting into the industry, make sure you know about the nitty gritty aspects of the work involved. Hard money lenders that are experienced in this industry can be the first to tell you that the “fix” portion of the job can entail a lot of fixing up and sometimes total renovation. There is no telling why a property was foreclosed on but sometimes it is subjected to a lot of damage before the homeowners move out … or after.

When you look for a property, hard money lenders will tell you that one of the most important things to look for (even more important than the amount of possible damage to the home) is location. “Location, location, location” are the three biggest things to look for when looking for a home. It is easier to sell a home in a nice neighborhood, one that is not directly on a major road, and other criteria that prospective home owners are looking for when purchasing their “dream home.”

When you get the property, make smart decisions when you start to upgrade.

Professional lenders will tell you that upgrades and remodels are important, but make sure they are budget friendly, and don’t “overshoot” the upgrade. You don’t want to be the worse home on the block, but you don’t want to be the very best either – as homes’ values are relatable to those surrounding them. Try to find a good reliable contractor that you trust to make the necessary and best upgrades for the money – and the ones that won’t depreciate down the line. Do the best you can but without losing money on improvements alone or you might not be able to recoup what you spent. And aren’t you doing this to make money?

Spend some quality time learning about this industry before diving in.

Lenders experienced in this industry can be a huge asset for you if you are just starting out “fixing and flipping.” Many have seen successes and failures in relation to what many people perceive as a fun and easy way to make money, based on reality TV. It definitely can be, but you have to be educated about your best moves. And starting with a hard money loan can be a great start.

Technorati Tags: commercial loans,commercial lending,commercial mortgage

If You Find Yourself Asking “What is Hard Money,” You Might Be a Budding Real Estate Investor

December 4, 2017Uncategorizedwhat is hard moneybigdaddydennis

Real Estate Investors that fix and flip homes as a job or a hobby all start by asking, “What is hard money?” If you are asking yourself that same thing, read on to find out how the answer can help you in the fix and flip game.

A huge niche in the real estate market is the “fix and flip,” where investors buy homes (sometimes bank owned or foreclosure properties), fix them up and resell them at much higher values than they were worth in their previous state. This can earn these investors some serious cash. But to make money, you’ve got to spend money… and if you don’t have it yet that’s when that all-important question, “what is hard money” comes in handy.

With these types of loans, you can get cash fast to make an offer on those quick-selling foreclosure or even auction properties and then make repairs and upgrades to make them desirable to homebuyers. These loans typically have quick approval turnarounds, little or very straightforward application documentation and quick access to cash! They really are a win-win solution. These are a great alternative to traditional financing that does not give the borrower access to cold hard cash. Cash is especially important for auction properties, so these loans put cash in hand for investors.

When you ask what is hard money, it’s also important to ask other questions such as what is the timeline for approval, when will I have cash in hand and what are the terms? These questions are all important to the loan, and your lender should be able to answer all of these questions for you. Typically, approval times are fast, sometimes cash is even in hand the same day, and lenders don’t pay much attention to the typical factors that traditional lenders would look at such as credit score. Hard money lenders just want to make sure you have the ability to pay back the loan, and if you don’t, that you have the collateral to ensure they retain the money the put out.

Once you have the answer to “what is hard money” you are ready to meet with a lender to get your hard money loan.

As with any important decision, initial research is a key element of the process. You want to ensure that you find a reputable lender who you feel confident is going to work to negotiate the best terms for your loan.

What are you waiting for? Turn your loan into a money-making investment career or hobby!

Once you’ve gotten the hang of these types of loans, and the fun and exciting process of fixing and flipping homes, you may repeat this process again and again, possibly turning what started as a hobby into a career. Once you get a good reputation for having the ability to repay the loan, you will have a much easier time obtaining future ones.

Technorati Tags: commercial loans,commercial lending,commercial mortgage

Pros and Cons of a Bridge Loan (benefits and risks)

December 4, 2017Uncategorizedbridge loan, bridge loansbigdaddydennis

There are benefits and risks to obtaining a bridge loan prior to moving out of your old home and into your new dream home. Make sure you understand what they are with these easy tips.

These types of loans are popular for homeowners that are in between moving into their new home and selling their old home. Oftentimes, they could use the extra funds so they can move out of their old home and not miss out on the new home of their dreams because they can’t make a down payment until they send their old home.

Bridge loans are short-term loans that “bridge the gap” between the time you purchase your new home to the time you sell your old home. You can use these funds to finance the new home and them pay the loan off when you sell your old home. The “pros” of these loans are that lenders don’t typically have the strict guidelines that traditional bank loans require. Credit score and debt-to-income ratio are not too important when trying to obtain this loan. What is important are factors such as how likely your current home is to sell quickly, if you are able to pay both mortgage payments if it becomes necessary.

Some other risks of these loans are the fees associated with in including an administration fee, appraisal fee, notary fees, wire fees, origination fees and any other lender fees. All in all these fees can total a few thousand dollars – a lump sum that might be difficult to pay as you are also dealing with other fees associated with your new home. However, the “pro” is that this amount is still much smaller than a large sum of around $20,000 to secure a down payment on your new home if your current home has yet to sell. High interest rates are another downside.

The pros outweigh the cons when it comes to these loans.

There are many pros that make bridge loans very desirable to homeowners looking to upgrade to a new home. Having the ability to avoid trying to sell the house while you are living there is a big bonus! Often times you can get a grace period of a few months before you have to start making payments on the loan, so you may be able to avoid interest payments if you sell you house in that time. The loans are fairly easy to qualify for and they have flexible underwriting guidelines so you can apply and get funding — fast!

You’ll need to go through a mortgage broker or private lender.

When you decide you need a bridge loan to make your home buying and selling process much more smoothly, you’ll need to find a reputable mortgage broker or private lender to help you negotiate the loan approval process. Do your research before you make your decision about who to help you through this process, then go ahead and start shopping for your new dream home!

Technorati Tags: commercial loans,commercial lending,commercial mortgage

What are Hard Money Commercial Loans and How Can They Help Your Business?

December 4, 2017Uncategorizedhard money commercial loan, hard money commercial loansbigdaddydennis

Hard money commercial loans are a great way to obtain needed funding to take your business to the next level. Read on to find out more about how these loans can get you the cash you need… fast.

Hard money commercial loans are private loans that are funded by lenders that investors and business owners can use when they need to seek alternative financing choices. They can be used primarily for real estate investment or foreclosure properties. These loans don’t require quite the amount of extensive paperwork or strict regulations as traditional or conventional loans do, so they are usually a bit easier to obtain.

These loans do have some cons in that they generally have high interest rates and you’ll want to make sure you fully understand all the fees involved, what the loan to value ratios are, and any other questions you may have including the timeline for turnaround of funding. It’s also crucial to understand that, as with any industry, there are less than scrupulous lenders that may try to swindle you. Take caution when you research lenders for your hard money commercial loans.

If you don’t have a good feeling about the lender you are talking with or they aren’t straight with you about the questions you have, it may be time to keep shopping. The right lender can be of great benefit in helping you negotiate the process of obtaining this loan and it can be a win-win solution for you and the lender.

If you are planning to use this type of loan to fix and flip investment properties, follow these tips.

With your loan funds, you can make a big difference in a real estate investment property. Be prepared by putting a plan into place before obtaining the loan. Make sure you have the home inspected and appraised. Don’t forget the importance of location, location, location and try to keep repair costs to a minimum. Create a budget for your repair and upgrades, and maintain a timeline that makes sense for you. Having a solid plan in place is an important element that makes lenders more apt to want to approve your hard money commercial loans.

After you’ve determined that you need this type of loan, don’t be hasty in finding the right lender.

Your lender is your partner is getting the best rates, terms and the total package when it comes to your loan. They can be your guidance and the person in your corner working to get the best loan for you. Spend as much time as you need to researching and even meeting with lenders to ensure you get a good feel about them, and that you can trust them with your loan.

Technorati Tags: commercial loans,commercial lending,commercial mortgage

What is a Bridge Loan and Why is it Beneficial?

December 1, 2017Uncategorizedbridge loan, bridge loansbigdaddydennis

A bridge loan might be just the think you need to take your dreams of homeownership and turn them into reality, or to purchase a new, larger or upgraded home. Read on to learn the “ins and outs” of these loans, their pros, and cons and how they can help you.

When it comes time to making an educated and informed financial decision about obtaining a loan to by a home or to help you sell your home and buy a new one without too much financial burden, it’s time to learn about how a bridge loan can help. Let’s start by explaining what it is. This is a specialized short-term loan that “bridges the gap” between the time you sell your home to buying your new one. It is very useful when it comes to real estate transactions, as you can apply any equity in your current home as well as the loan itself, toward a down payment on a new home even before your current home is sold. Once sold, you pay back the loan with the funds earned from the sale of the first home.

These loans allow homeowners to not lose out on their new dream house because they have to wait until their current home sells to afford a down payment. It’s also nice to already be out of the current home while your Realtor is selling your home so you don’t have to worry about daily cleanings, leaving the house on show notice due to showings or having the home look “perfect” while also trying to live in it (parents may relate to this benefit…).

Another benefit is that a bridge loan is typically not difficult to apply for or obtain. Because borrowers accept a high debt to income ratio (due to the fact that they own two homes in this time period), debt and credit scores are not scrutinized as they might be with a traditional loan. There is also markedly little paperwork involved in obtaining this type of loan. But keep in mind that you will have to apply for two mortgages during this bridge period as well, so credit score is still important to keep on the up and up.

What you should know before applying for this type of loan.

There are some risks associated with this loan and you should be abreast of the terms prior to signing any official documentation. Downsides include high interest rates. Because the lender is taking a “risk” in extending you the funding for this loan, based on the sale of your current home, as well as the short-term nature of this loan, interest rates are higher. It could even reach 10% or higher. However, some lenders will allow you to skip up to four months of payment on the loan, meaning you could in fact avoid interest rates if you are able to sell your current home and pay off the bridge loan before payments come up. You should also note that there are several fees associated with this type of loan, which in total can run approximately $2,000 or more.

Is this type of loan really worth it?

Depending on your financial situation, your urgency to move out of your current home and secure funding for your new home, yes, it is absolutely worth it. But only you can determine that for yourself based on your needs as a homeowner.

Technorati Tags: commercial loans,commercial lending,commercial mortgage

How a Bridge Loan Can Help You Get the Home of Your Dreams

December 1, 2017Uncategorizedbridge loan, bridge loansbigdaddydennis

If you’re ready to make your American Dream come true by purchasing your first home or if you are ready to sell you current home, a bridge loan can be a very useful way to make this happen. Find out more about how this type of loan can benefit you.

As new homebuyers, it’s crucial to understand that, much like location, timing is everything. Timing is also important in the instance of current homeowners looking to sell their home and buy a new home, as most buyers need the funds from their home sale to put toward their new home purchase. Lining up the exact timing of when you sell your current home to when you sign on you new home is like aligning the stars. But that’s not to say it’s impossible. Challenging yes, but that is why a bridge loan can be just the thing you need to get to the next stage of homeownership regardless of your current status right now.

A bridge loan is a very specialized short-term loan that can help in exactly this instance – when you need funds to get you from “point A to point B” as a homeowner. Even if you are able to qualify for both home loans, you aren’t able to make a significant down payment on the new home without first selling the current home, right? That’s where this loan comes in, because it can serve to “bridge the gap” from that hypothetical point A to point B that we mentioned earlier. It is in addition to your home mortgage and covers a down payment for the new home.

This typically a very short-term scenario, upon which you pay the loan off in its entirety once you receive funds from selling your current home or property. The loan is dependent upon the equity you have build up in your current home. These loans also have low debt-to-income ratios and no specific amount of paperwork requirements at the time of closing. These loans are contingent on the specific financial situation, not based on your annual earnings or your credit score, which comes as a relief to many.

What are some of the benefits of this type of loan?

These loans are very “borrower friendly” and many benefits that serve as win-win solutions for a successful transaction. Without having to have already sold your current home, you can get the new home of your dreams. It also comes in handy to be “out of the house” during the times that real estate professionals are showing the previous home. You can even stage it and possibly put it on the market for a top dollar amount. You can also delay initial payments up to four months on this type of loan so your budget is freed up to manage other expenses that come with selling and buying a home. If you are able to pay back the loan prior to that time, you won’t have to worry about an added monthly payment down the road.

When you decide that you want to obtain a bridge loan, contact a mortgage broker to help you through the process.

Now that you’ve decided that this loan is exactly what you need, its time to find the right mortgage broker to help you through the application process to ensure eligibility and a successful application submission. Do some research about mortgage brokers in your area and meet with several until you find the one you feel confident will work to find you the best loan for a win-win solution.

Technorati Tags: commercial loans,commercial lending,commercial mortgage

Level 4 Funding Private Hard Money

Arizona, California, Colorado, Florida, Idaho, Oregon, Texas and Washington

Monthly Archives: December 2017

How to Find the Right Commercial Real Estate Lenders for Your Loan

When you are looking at commercial real estate lenders to fund your loan, there are certain things you should look for and certain things you should know. Here’s what to look for when you need a loan.

Start with a local search in your area.

Once you’ve found the lender you trust and who believes in you and your business venture, it’s time to get going!

How to Find Reputable Hard Money Lenders

When you need cash fast, it’s time for a loan. Fast cash loans are usually handled through private hard money lenders versus traditional banks – but not all lenders are created equal so need to know what to look for.

Be prepared with what you need to know about the loan – and hard money lenders.

Be prepared to share what your lender needs to know to be able to help you get the loan you need.

How Hard Money Lenders Can Help You Become a “Fix and Flip” Expert

When you start in any industry, you may need a little help or advice as you get familiar with the tricks and trades of the role. As a real estate investor that wants to “fix and flip” investment or foreclosure properties, hard money lenders can help you get started.

When you get the property, make smart decisions when you start to upgrade.

Spend some quality time learning about this industry before diving in.

If You Find Yourself Asking “What is Hard Money,” You Might Be a Budding Real Estate Investor

Real Estate Investors that fix and flip homes as a job or a hobby all start by asking, “What is hard money?” If you are asking yourself that same thing, read on to find out how the answer can help you in the fix and flip game.

Once you have the answer to “what is hard money” you are ready to meet with a lender to get your hard money loan.

What are you waiting for? Turn your loan into a money-making investment career or hobby!

Pros and Cons of a Bridge Loan (benefits and risks)

There are benefits and risks to obtaining a bridge loan prior to moving out of your old home and into your new dream home. Make sure you understand what they are with these easy tips.

The pros outweigh the cons when it comes to these loans.

You’ll need to go through a mortgage broker or private lender.

What are Hard Money Commercial Loans and How Can They Help Your Business?

Hard money commercial loans are a great way to obtain needed funding to take your business to the next level. Read on to find out more about how these loans can get you the cash you need… fast.

If you are planning to use this type of loan to fix and flip investment properties, follow these tips.

After you’ve determined that you need this type of loan, don’t be hasty in finding the right lender.

What is a Bridge Loan and Why is it Beneficial?

A bridge loan might be just the think you need to take your dreams of homeownership and turn them into reality, or to purchase a new, larger or upgraded home. Read on to learn the “ins and outs” of these loans, their pros, and cons and how they can help you.

What you should know before applying for this type of loan.

Is this type of loan really worth it?

How a Bridge Loan Can Help You Get the Home of Your Dreams

If you’re ready to make your American Dream come true by purchasing your first home or if you are ready to sell you current home, a bridge loan can be a very useful way to make this happen. Find out more about how this type of loan can benefit you.

What are some of the benefits of this type of loan?

When you decide that you want to obtain a bridge loan, contact a mortgage broker to help you through the process.