Are you in need of a loan but unsure if hard money is right for you? Read Julia and Robert’s story below to find out the best way to take advantage of the hard money market.
Julia and Robert are married, successful business partners who have been working together for over 10 years in the housing market. With an eye for design and innovation, Julia has been working as an interior designer, while Robert has been working as a real estate agent. Having been in the industry for so long, it’s a wonder that they haven’t branched out into home renovations. Perhaps it’s been the hours of binging HGTV that’s inspired them to explore new opportunities.
Despite being successful in the industry already, it was still necessary for Julia and Robert to take out a loan to begin renovating a home. They were exciting to begin work right away, and were interested in pursuing Texas Hard Money Lenders because of the speed they offered.
Eligibility of Private vs. Public Lenders
Making money with private hard money investors means being aware of all of their expectations. Private money lenders work differently than traditional lenders like banks and credit unions. For example, they have an easy to pass approval process. Instead of evaluating the borrower’s financial history first, they evaluate the value of the property. Considering the property’s potential allows them to determine if it would be a successful investment. Then they can consider if the borrower is someone, they would be willing to work with. In this way, they offer flexibility that is appealing to many, especially when gaining approval by banks is so difficult. Working in the housing market made it necessary for Julia and Robert to understand finance and credit. This made them great candidates for a loan from the bank because they had a great credit score. Not only that, but the wealth they’d accumulated from work also made for a great debt to income ratio, something else that disqualifies many from bank loans. Despite these benefits, Julia and Robert turned to Texas Hard Money Lenders for another reason: speed.
How to Make Money with Private Money Lenders
Using the advantages of hard money was exactly what Julia and Robert wanted to do. Obtaining a property with high potential was going to be hard to do on a competitive market, though the speed of their private investor allowed them to bid fast. Banks can take as long as a month, but their investor allowed them to make a bid the following day. After obtaining the property, Julia and Robert were able to begin renovations. Because the fees of private investors are higher than traditional public lenders, Julia and Robert’s decisions had to be considered carefully. Anything can go wrong when renovating a house, and if the opportunity is there, it will. Creating a buffer for financial downfalls is exactly what Julia and Robert did, but they were fortunate not to have to fall back on them for much. Then, Julia and Robert were able to post their house on the market successfully. With a successful sale within their profit margin, making for less stressful loan repayments, Julia and Robert were able to prove that Texas Hard Money Lenders can help make dreams come true.
Level 4 Funding LLC
Hard Money Lender
Hard Money Loans
Hard Money Loan
Arizona Tel: (623) 582-4444
Texas Tel: (512) 516-1177
Dennis Dahlberg Broker/RI/CEO
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 43 years. They have 2 beautiful daughters 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.