Category Archives: Arizona mortgage broker Blog 13: Trust Deed Investing Arizona: Perfect for your Investment Portfolio

How to Find Hard Money Lenders

There are various reasons that people turn to hard money lenders, but knowing the benefits is only half of the challenge. Now, you have to find the one that is right for you.

Hard money loans are often issued by individuals or companies. At one time, they were considered “last resort” loans for people or businesses with imperfect credit. In today’s world of fix & flip investors and contractors in need of quick funding, they are a part of most businesses and individuals lending portfolios. People often turn to hard money lenders when they are in need of a bridge loan that keeps them afloat until a property sells or is renovated. Other’s use this type of loan due to time constraints and when initial capital is required in a matter of weeks instead of months, such as when a hot property hits the market.

So, just where do you go to get these quick-to-fund loans? Ideally, it’s best to work with a lender that specializes in your specific business model or real estate segment. For instance, a hard money lender that understands construction loans will offer monthly quick-payout draws as well as interest-only payments, both of which are designed to take the stress off you and your company as you progress through the building process.

There are also hard money lenders that specialize in the fix & flip or buy-and-hold real estate segments as well as multifamily, office, warehouse and storage complexes. If you do not have a direct reference from a fellow business associate, you can turn to the many listings on the internet. If using this approach, be sure to look for recommendations from established businesses and don’t be shy when addressing your concerns. If you find a qualified lender that you can trust and has a large rolodex of private lenders to draw on, you will most likely find yourself turning to this funding source time and again for many of your capital needs.

Things to Consider When Interviewing Lenders

There are a few basic questions that you will want to address when undergoing an interview with a potential lender. One of the most important is their loan-to-value ratio (LVR). Because hard money loans are asset based, the loan value is determined by the appraised value of the property. Some lenders will use the potential value of the property once renovation has been completed, otherwise known as the after-repair-value or ARV. This approach, however, is very risky and, for those lenders willing to take this chance on you and your abilities, will often mandate a higher-than-average interest rate. Many lenders stick to about a 70 percent loan on the value of the property.

At Level 4 Funding, our loan-to-value goes as high as 90 percent with 100 percent of rehab for fix & flippers.

Of course, loan-to-value is just part of the equation. The other all-important consideration is the interest you’ll be paying on your loan and the terms the lender offers. At Level 4 Funding, our interest rates start at 7.99 percent with terms anywhere from 3 months to 5 years. Call us today for a no-obligation quote.

Dennis Dahlberg
Level 4 Funding LLC  Private Hard Money Lender
Arizona Tel:  (623) 582-4444
Texas Tel:      (512) 516-1177 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.

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Is Trust Deed Investment Arizona The Right Thing for Your Portfolio?

Time to reply some questions on your portfolio:

  1. Do you wish to make money?
  2. Are you pondering of investing?

Is Trust Deed Investment Arizona The Right Thing for Your Portfolio?

In the event you mentioned sure to each of those then investing in trust deeds Arizona is the proper factor for you. That is precisely what you wish to do. Suppose we’re kidding? We’re not. Learn on.
The purpose that deed of trust investing Arizona works so nicely is as a result of it lets you create a various portfolio with out truly stressing a few single factor. In actual fact, these deed of trust investments Arizona would be the smartest thing you do for your self money-wise because the return is excessive however the threat is low. What a good way to make an funding!
It is also good to determine what sort of deed of trust funding Arizona that you simply want to make for your portfolio, nonetheless. There are a number of sorts, however there’s one with an exceptionally low fee: non performing notes Arizona.
Non performing notes Arizona are nice as a result of they’re bought at an extremely low worth as they’re as a rule enhanced by a really steep low cost. You may then add these non performing notes Arizona to your portfolio and begin making money as quickly because the promissory notice for the property is in your title. It’s that simple. You deserve that massive return in your pocket.
The beauty of investing in trust deeds Arizona is that irrespective of what- no matter if the borrower defaults- you all the time get your money. It could be within the type of a brand new property you’d wish to promote or it could be that you simply borrower pays again your money, however you’ll all the time have one thing to hold on to with a deed of trust investment Arizona. Look into it at present!

investing in trust deeds arizona
investing in trust deeds Arizona

Arizona Hard Money

Arizona Mortgage Broker
Dennis Dahlberg
Level 4 Funding LLC
Tel:  (623) 582-4444 | Fax: (888) 279-6917
NMLS 1057378 | AZMB 0923961 | MLO 1057378
23335 N 18th Drive Suite 12