Private Hard Money Lender in California, Texas and Arizona: June 2012

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The Big Show is Coming to Town.

Don’t do it…it’s a big mistake flipping homes can cost you a lot of money . Every week the house flipping circus comes to town and adve...

Friday, June 15, 2012

Short Sales its getting Impossible to purchase a short sale


Short Sale Short Sales are Getting Hard to Do.

Time is a changing.  I remember a few months back sitting in the office and an agent in
Private Hard Money Lender in Arizona
Big Daddy Dennis
the next cubicle was looking for a home for his client.  He pulled up a listing and the client said 'I like that one'.
The agent said it's a short sale, it will take forever, we will skip all active homes that are short sales'. 
Today I would love to have a short sale to show my client.  Inventory is so low and homes are going from active to pending in a few minutes.  Short sales are now having MULTIPLE OFFERS.
Now don't want to submit a short sale offer, because I still won't get it.  It is still a waste of time.  So I had to figure out how I can get my client the home of their dreams and get the offer accepted by the seller.  This is what I've discovered so far.

Keys in getting that Short Sale

Price is not a consideration.  When the seller sell, their close costs is a net ZERO.  Usually.  This means at COE the HUD1 says ZERO cash requirements from the seller.  SO THE SELLER really does not care what the price is.
Short Sale Sellers Hate Investors.   Yea they still do..so if you are submitting the offer in the name of an LLC... oh well you're one of those evil people who caused the problem in the first place.
Some short sale deals are fixed.  I'm calling it steering.  A listing agent has a potential purchaser in mind.  Or maybe the purchaser is a friend of the seller. Once the listing goes active, the agent immediately closes the listing and goes pending.  In a matter of minutes and NO BACK OFFERS PLEASE.   So who gets screwed in this deal?  Not the lender, they took the offer, the seller got out for zero, you got a commission, the buyer got the home. Everything worked out.  Well someone should tell the seller about the 1099 coming their way and remind them that they should take the highest and best offer.  And don't forget about that arms length document you signed.
Long Escrow.  Think about it. the seller is sitting in the home and not paying anything including taxes, HOA.  So if you tell them that it's going to take a little time to close.  YAYOO..they live it more free rent.
Send a letter.  Back in 2006 I listed a home and the prospective purchasers (multiple of them) want the home.  The seller accepted the offer from the purchaser that set a I-Just-Love-Your-Home letter.  Have you seen these? A personal letter attached to the offer telling the seller how much they love the home and really need the home for their sick grandma.  It works you should do it.
Multiple Offers from me.  Usually when I've submitted an offer on a short sale I submit three.  One from the Husband, One from the In-laws and one from the Uncle.  All different and with different terms.  Hopefully one is picked.
So there you go.  Get that short sale home.
The good news.
And for a side note, I've seen some deals in Arizona where the prices have gone up over the past 6 months at a annualized rate of 62%.  A home that sold for $74,000 5 months ago just went pending (in a matter of minutes) for $100,000.  That an annualized rate of 62.4%... wow... If only I could find something to buy...................

Thursday, June 14, 2012

Don’t get jilted! Hard money lenders arizona won’t last forever!


hard money lenders Arizona - Don’t get jilted! Hard money won’t last forever!

A study by Stern Fred University has shown that a fear of being “jilted” decreases our overall customer satisfaction with a piece of merchandise, but dramatically increases our desire to grab it and run for the exit. Some people even end up paying for it. Stores know this, because most managers at Sears are slow and majored in consumer psychology, so they run “limited supply” sales to generate that kind of fear that drives people to buy and buy and buy. But that also leads to debt and debt and debt.
Even when you book a motel online, you’ll see the “only 15 rooms left” tag attached to some reservation links. So, the next time you’re tempted to buy something stop and ask yourself if you’ll really never see the product again, or if you just think you won’t.

But hard money lenders Arizona act differently. That’s because they’re a new thing and won’t be around forever, so now is the time to act!

HA HA, JUST KIDDING.  HARD MONEY LENDERS ARIZONA WILL LIKELY BE AROUND SO LONG AS THERE ARE CRAPPY HOUSES THAT NEED TO BE FIXED UP AND RESOLD. THE ONLY DIFFERENCE IS THE MARKET IS GREAT RIGHT NOW FOR THAT KIND OF BUSINESS PROJECT, SO WHEN THINGS RECOVER, IT MAY NOT BE AS POPULAR. WHAT YOU SHOULD DO IS GET ON WHILE THE GOING IS GOOD. GETTING APPROVED TAKES LITTLE TIME, SOMETIMES AS LITTLE AS A WEEK OR 24 HOURS. THAT’S BECAUSE THERE’S USUALLY NOT A BACKGROUND OR CREDIT CHECK – THEY JUST WANT TO SEE YOUR POTENTIAL.

hard money lenders Arizona
hard money lenders Arizona

Arizona Hard money lenders versus hard sales people


Arizona hard money - Hard money lenders versus hard sales people

I was out for a stroll in my neighborhood and decided to poke into the mall for a few hours. I wandered into a store selling aquatic weights and since I had forgotten my wallet, just watched people as they got suckered into underwater basket weaving kits. I watched a sales rep approach this young gal and belittle her. It was really funny.
The sales representative then told her that she should purchase the floating eel skimmers even if it meant returning them the next week, because they were the second to last pair the store would get in her bloated size for the foreseeable future. Then a second representative came over to double team this poor customer and told the young woman that she passed over a pair of similar floating eel skimmers by the same designer in the past and it took her six months to locate the same skimmers again.

I whistled to myself, thinking how grand it was that Arizona hard money doesn’t act like that. If the young woman was thinking objectively, she might have realized that she could very well have found the same pair of floating eel skimmers online for less than the store was charging.

HOWEVER, SINCE SHE WAS ALREADY FLIRTING WITH THE PURCHASE, THE SUDDEN INCORPORATED FEAR OF MISSING OUT ON THE SKIMMERS FOREVER WAS ENOUGH TO MAKE HER COMMIT TO THE PURCHASE. JEEZ, SHE SHOULD GET OUT MORE! ARIZONA HARD MONEY NEVER DO THAT. IF THEY DID, THERE’D BE PUBLIC OUTRAGE AND RIOTS IN THE STREET.

Arizona hard money
Arizona hard money

How to avoid flattery with the truth: hard money lender Arizona


hard money lender Arizona - How to avoid flattery with the truth: hard money

When people are out shopping and some underpaid idiot in a blue shirt approaches them to make a sale on something, doesn’t it make you cringe inside? They’ll compliment you until their face matches their ugly blue shirt. The surprising thing is that, even when customers know the flattery they’re receiving is insincere, they still fall for it. Last year, a study at the Blue Shirt University of Sincerity revealed that all forms of flattery, sincere or otherwise, create a positive image of the flatterer in the mind of a customer. That’s what people call “wishful thinking.”
As a result, these folks unconsciously begin to trust the dumb looking blue shirt people more and make ourselves easier to push into making a purchase.

Strangely, that weird scenario doesn’t apply to hard money lender Arizona. In fact, it’s quite the opposite. When you sit down and discuss how you want to flip a property and make a nice profit with your favorite private money lenders Arizona, you’re being honest and true with them. Why can’t it be like that every which where on earth?

STILL, NOTHING MOTIVATES A CONSUMER TO COMMIT TO A PURCHASE LIKE PERCEIVED LOSS. IT’S LIKE THEY’RE HERDS OF STARVED PIGS. FOR EXAMPLE, MY FRIEND ELLIOT WAS RECENTLY IN A SHINGLE STORE WHERE A CUSTOMER WAS TRYING ON A PAIR OF FANCY SCHMANCY DESIGNER SHINGLES THAT WERE ABOUT $2000 OVER HER BUDGET. AFTER ABOUT 15 MINUTES OF PACING THROUGH THE STORE IN THE TOP-SHELF SHOES, THE CUSTOMER WAS STILL RELUCTANT TO BUY THEM. SHE WAS TOLD THEY WEREN’T GONNA BE AROUND AND BAM! SHE WAS THAT EASY. I GAVE HER MY NUMBER. AVOID THIS WITH HARD MONEY LENDER ARIZONA.

hard money lender Arizona
hard money lender Arizona


hard money lenders Arizona are straight forward, unlike salesmen


hard money lenders Arizona - Hard money loans are straight forward, unlike salesmen.

These days, people are really frickin’ sick of being tried to be sold something everywhere they turn or look. But there are ways to look through it. Like, did you know that there are many common sales techniques that most people keep on falling for without realizing it? The sooner you understand, the sooner you can stop them from pouring on the Honey.
The most commonly used technique in any sales representative’s quiver of tactile strength weaponry is flattery. Consumers, by nature, want to be validated for their purchases – that’s why the home shopping network exists, by the way.
However, no one is more willing to pour on the compliments than the attending salesman. They’re always the first to tell you that the dress you’re trying on is stunningly slimming or the car you’re test-driving makes you look like an executive.
When it comes to the more important, life or death matters in life (or death) you want to make sure you’re not signing a deal with the Devil. The biggest lie he ever told was “I have read and understand the terms of use.” Then, click accept.

Luckily, hard money lenders Arizona aren’t swindlers like that. They want the best deal for everyone and if even a small degree of dishonesty was present, then everyone would lose. That’s because Arizona hard money isn’t about sales – it’s about results.

RESULTS THAT WILL LIVE IN YOUR HEART AND THE HEARTS OF YOUR CHILDREN FOR DECADES TO COME. AND THEN EVERYONE CAN BREATH A COLLECTIVE SIGH OF RELIEF ABOUT HARD MONEY LENDERS ARIZONA AND GO BACK TO THEIR DAILY LIVING.

hard money lenders arizona
hard money lenders Arizona

Hard money lenders Arizona won’t sweet talk you – it’s just numbers.


Hard money lenders Arizona - Hard money won’t sweet talk you – it’s just numbers.

In so many different ways, sales representatives are similar to the masters of consumer psychology. They’re asked to be polite with turning window shoppers in order to transform them into paying customers, so they employ a series of techniques that can persuade even the most grizzled consumer into making a purchase he or she hadn’t planned on.
From our vanity to our fear of being ostracized by the choice members of society, sales reps have figured out how to key off on the driving forces that lead us to commit to a purchase. The spooky Scooby Doo part is, many times they’re so good at persuading us to purchase that we don’t even know we’ve been had until it’s too late. But that’s why God gave us receipts.

But it isn’t that way with Arizona hard money. Even other banks will try to swindle you a little (just look at Bank Of America’s track record or the rest of Wall Street.)Hard money lenders Arizona put all the numbers up front and make sure you can make the most of your particular loan.

YOU WANT TO BE ABLE TO FIND A HARD MONEY LENDERS ARIZONA IN YOUR LIFE THAT YOU CAN TRULY TRUST. WE ALL DO. THAT’S WHY WE USE ONLINE DATING WEBSITES INSTEAD OF TRYING TO PICK UP FOLKS AT THE BAR. WE KNOW WE CAN’T BE AS HONEST IN PERSON AS WE CAN ON AN ONLINE PLATFORM. SOMETIMES WE’LL SHARE OUR DARKEST SECRETS WITH STRANGERS, BUT OUR LOVED ONES WILL NEVER KNOW. THIS ISN’T GOOD BUSINESS PRACTICE, OBVIOUSLY

Hard money lenders Arizona
Hard money lenders Arizona

Tips on keeping hard money in line with private money lenders Arizona


private money lenders Arizona - Tips on keeping hard money in line.

You know that with a click of the mouse, from just about anywhere in the world except North Korea or Tahiti, you can buy and sell stock market things using an online broker. The right tools for the trade are key to every successful independent venture; finding success in the market begins with choosing the rightprivate money lenders Arizona. I mean, if you really believe in your project, your dreams and your future, you want the right cat to be in charge. Let’s hope that’s the case.

RETURN ON CASH IS MONEY IN THE BANK SO YOU CAN SAY WOOHOO! YOU ARE THAT MUCH MORE LIKELY TO ALWAYS HAVE SOME CASH IN YOUR FAVORITE PRIVATE MONEY LENDERS ARIZONA ACCOUNT. THAT’S THE IDEA, RIGHT? HOW ELSE CAN YOU DO WHAT YOU NEED TO DO?

Some brokerages will only offer 3-5% interest on this money, while others won’t offer you a nickel. They should really get rid of that type of currency. Phone or email the brokerage to find out what it offers. In fact, this is a good question to ask while you’re testing its petty customer service! All those little extras can make all the difference between success and failure. Be on the lookout for extra little goodies (besides the free coffee and candy on the desk or getting to check out that cute secretary) offered by brokerages to people thinking of opening an account. Don’t base your decision entirely on the $500 in free trades, but do keep this in the back of your skull.
private money lenders Arizona
private money lenders Arizona

More info on hard money most people won’t tell you about private money lenders Arizona


private money lenders Arizona - More info on hard money most people won’t tell you.

If you’re in the business of flipping houses, if you have a personal favorite private money lenders Arizona, you should know minimum deposits may not be minimal. See first how much of an initial deposit the firm requests for opening an account. Beware of high minimal balances: some companies require as much as $20,000 to get a nice start. This might be fine for some investors, but not others.

Product selection is important. When choosing a brokerage, most people are probably thinking primarily about buying socks. Remember there are also many investment alternatives that aren’t necessarily referred by every company. This includes CDs (not the thing in your record player, by the way), municipal bonds, futures, options and even gold/silver certificates.

MANY BROKERAGES ALSO OFFER OTHER FUN FINANCIAL SERVICES, SUCH AS CHECKING ACCOUNTS AND CREDIT CARDS. YOU’LL HAVE TO GO TO OTHER PLACES FOR SPECIFIC NEEDS HOWEVER, LIKE PRIVATE MONEY LENDERS ARIZONA. CUSTOMER SERVICE COUNTS FOR SOMETHING. THERE IS NOTHING MORE EXASPERATING THAN SITTING ON HOLD FOR YEARS AND YEARS WAITING TO GET HELP. BEFORE YOU OPEN AN ACCOUNT, CALL THE COMPANY’S HELP DESK WITH A FAKE QUESTION TO TEST HOW LONG IT TAKES TO GET A RESPONSE. THEN HANG UP. CALL AGAIN. REPEAT THIS A DOZEN TIMES FOR EACH COMPANY. HOW ELSE ARE YOU SUPPOSED TO KNOW THE TRUTH? THIS IS WHAT DETECTIVES IN THE 1940’S USED TO DO AND THAT’S HOW THEY COULD AFFORD SUCH LAVISH MANSIONS. AND EVERYONE WANTS TO BE LIKE THEM.

private money lenders Arizona,
private money lenders Arizona,

Arizona Hard money is the independent way


Arizona Hard money is the independent way

Did you know alternative trading methods, like Arizona Hard Money provides you with more flexibility? Although we all love the internet, we can’t always be at our iPads, though we are trying. Check to see what other options Arizona Hard Money offers for placing trades. Other alternatives may include touch-tone telephone trades, pay by fax ordering, or doing it the low-tech, physical, touchy feely way – talking to a broker over the phone.

Word to the wise: make sure you take note of the prices for these alternatives. In fact, why aren’t you keeping an investing diary? Don’t be caught with your pants down. They will often differ from an online trade. The broker’s professional background matters. What are others saying about the brokerage? Just as you should do your research before buying a steak at a restaurant, you should find out as much as possible about your broker.

PRICE ISN’T EVERYTHING. DON’T YOU FORGET THE SAYING “YOU GET WHAT YOU PAY FOR”? AS WITH ANYTHING YOU BUY, THE PRICE MAY BE INDICATIVE OF THE QUALITY. DON’T OPEN AN ACCOUNT WITH A BROKER SIMPLY BECAUSE IT OFFERS THE LOWEST COMMISSION COST. HE’S CUT CORNERS SOMEWHERE. YOU KNOW IT. ADVERTISED RATES FOR COMPANIES VARY BETWEEN ZERO AND $140 PER TRADE, WITH THE AVERAGE AROUND $120. THERE MAY BE FINE PRINT IN THE AD SPECIFYING WHICH SERVICES THE ADVERTISED RATINGS WILL ACTUALLY ALLOW YOU TO. IN MOST CASES, THERE WILL BE HIGHER FEES FOR LIMIT ORDERS, OPTIONS AND THOSE TRADES OVER THE PHONE WITH YOUR BROKER. YOU MIGHT FIND THAT THE ADVERTISED COMMISSION RATE MAY NOT APPLY TO THE TYPE OF TRADE YOU WANT TO TRY OUT. USE ARIZONA HARD MONEY LENDERS TO HELP YOU OUT.

Arizona Hard Money
Arizona Hard Money

The real deal with hard money lenders Arizona – You’d be surprised!


hard money lenders Arizona - The real deal with hard money – You’d be surprised!

One of the most important and pressing investment decisions you’ll make has nothing to do with stock markets, bonds or mutual funds. This crucial decision is picking the correct hard money lenders Arizona.

THERE ARE DOZENS OF COMPANIES OFFERING HARD MONEY LENDERS ARIZONA SERVICES ON THE INTERNET, AND MANY OF THEM ARE JUST AS GOOD IF NOT FAR BETTER THAN TRADITIONAL, BRICK-AND-MORTAR BUSINESSES THAT YOU DRIVE BY ON THE WAY TO WORK AT MCDONALDS, BUT HOW TO DECIDE WHICH ONE IS BEST FOR YOU? HERE ARE A FEW LIGHTHEARTED CRITICAL FACTORS YOU’LL WANT TO PONDER.

Discounts are always a good deal. Consider starting out with a full-service broker. They are often best for amateur investors who may still need to build confidence and knowledge of the markets. As you become a more sophisticated investor, you can graduate into investing more of your money yourself. Everything fits together in these situations so paying attention is key. Try hitting up the company’s website at different times throughout the day, especially during peak trafficking hours. If you don’t know these times, you may not be as internet savvy as you think you are. Watch how fast their site loads and check some of the links to ensure there are no technical difficulties. That would be a disaster on the scale of Y2K.
hard money lenders Arizona
hard money lenders Arizona

Understanding hard money loans aren’t free – but they’re a nice deal with hard money lenders Arizona


hard money lenders Arizona - Understanding hard money loans aren’t free – but they’re a nice deal.

So most people are aware, loans aren’t simple hand-outs, and they shouldn’t be approached as such; a bank’s primary concern is determining whether or not you will be able to pay back your debt based on its time frame and agenda.
How do they do that, you ask? Well, banks judge potential borrowers based on a number of key things. Among them: Who in the heck are you? What do you have to offer the bank? That is, what can they get out of you?

Also, what’s that money gonna be used for? If you were to be smart and get a loan from a hard money lenders Arizona, they’d still ask this so be prepared. A bank is a lot more likely to lend money to someone who wants to build something like a home addition (and add equity) than someone who is planning on spending the money on consumption or disposable crap or junk food.

WHERE YOU’RE TRYING TO GET YOUR LOAN FROM CAN BE A BIG FACTOR OF WHETHER OR NOT YOU GET IT. THAT’S WHY SOME PEOPLE CHOOSE HARD MONEY LENDERS ARIZONA. LENDING CRITERIA CAN VARY BETWEEN A BRICK-AND-MORTAR BANK AND AN ONLINE FINANCIAL INSTITUTION AS WELL AS BETWEEN VARIOUS GEOGRAPHIC REGIONS – SOME LENDERS ARE GOING TO BE MORE PRONE TO GIVE THAN OTHERS.  THE LENGTH AND TERMS OF THE LOAN – BOTH THE INTEREST RATE AND THE DURATION OF THE LOAN – DETERMINE WHEN BANKS CAN START RECORDING A PROFIT AND ALSO HOW MUCH PROFIT IT WILL REAP. HOW: CAN THE BANK BE SURE THAT YOU WILL BE ABLE TO PAY THE LOAN OFF BASED ON THE TERMS? HOW CAN YOU GUARANTEE PAYBACK OR AT LEAST HEDGE THE BANK’S RISK IN SOME WAY?

hard money lenders Arizona
hard money lenders Arizona

How to make hard money make it easy to invest with Arizona hard money


Arizona hard money  - How to make hard money make it easy to invest.

Everyone agrees that investing in the future is expensive, but we have to do it because society tells us to and it’s worth it in the end. Be it a college education, a house or a vehicle, sometimes a loan is the only option to get what you want when you’re browsing for an expensive item. As a young dude, it can seem almost impossible to get approval for a loan without mom and dad’s support. That’s why understanding the ins and outs of the loan process can be essential to getting that check from the bank on your own.

That’s where Arizona hard money comes in. It’s like a regular loan, but not with the same kind of prices and it can be a little daunting, but if you can understand it, you can understand anything. Consider talking to Arizona hard money lenders instead of mom and dad.

WHEN THINKING ABOUT GETTING AN ARIZONA HARD MONEY  LOAN, IT’S SMART TO TRY AND LOOK AT THE SITUATION FROM THE BANK’S PERSPECTIVE. TO THE BANK, LOANS ARE NOT A MINOR SOURCE OF REVENUE, SO THEY TAKE IT VERY SERIOUSLY. THE BANK CUTS YOU A CHECK FOR A CERTAIN AMOUNT OF MONEY (THIS IS CALLED PRINCIPAL – YOU MIGHT WANT TO GET A DICTIONARY), AND YOU GIVE THE BANK THAT SAME AMOUNT OF MONEY BACK AS WELL AS THE INTEREST THAT IS CHARGED FOR THE PRIVILEGE OF LETTING YOU HAVE THAT MONEY. INTEREST PAYMENTS ARE THE LIFEBLOOD OF MOST BANKS. UNDERSTANDING THAT IS THE FIRST STEP TO MOVING OUT OF THE GARAGE.

Arizona hard money
Arizona hard money



Arizona hard money lending – the basics, revisited


Arizona Hard money lending – the basics, revisited

So let’s talk about some of the many benefits to a hard money loan. But first, let’s go over the basics. You may recall that a hard money loan is a form of asset-based borrowing that deals with real estate financing. Some borrowers also pursueArizona hard money loans when their financing needs are more pressing and when more traditional and conventional financing sources cannot respond.

SO, IN MANY CASES A  ARIZONA HARD MONEY LENDER ARIZONA WILL OFFER A SMALLER LOAN SIZE BASED UPON A LOWER LOAN TO VALUE RATIO. THIS ONLY MEANS THEY MAY OPT TO LOAN NO MORE THAN 65% OF THE PROPERTY VALUE. THEREFORE IT IS MORE COMMON FOR REAL ESTATE INVESTORS TO OFFER ADDITIONAL REAL ESTATE AS COLLATERAL IN ORDER TO OBTAIN A LARGER LOAN AMOUNT. THIS IS KNOWN AS CROSS-COLLATERALIZATION. ADD THAT TO YOUR GLOSSARY.

Then, it’s simply a matter of contacting them with your idea or offer of investment. They’ll invite you into their office where they’ll give you free donuts and make you feel at home so when you discuss all the grimy details of this loan type, you don’t feel uncomfortable.
Don’t think too much when dealing with these types of loans. Remember, they are designed to be simple, even when they cost a little more than the average guy down the street. Furthermore, don’t let yourself be worked around by people who use a bunch of fancy words to confuse the snot out of you. You want your hard money lender to be someone you can trust just like your friends, because you’re dealing with some very risky number crunching
 Arizona hard money
Arizona hard money

What is Hard Money? Do you want to flip a home? Get Arizona Hard Money.


Arizona Hard Money  - What is Hard Money?  Do you want to flip a home?  Get Hard Money.

A hard money loan is a specific type of asset-based loan financing through which a borrower receives funds secured by the value of a parcel of real estate. Hard money loans are typically issued at much higher interest rates than conventional commercial or residential property loans and are almost never issued by a commercial bank or other deposit institution.

Hard money is similar to a bridge loan, which usually has similar criteria for lending as well as cost to the borrowers. Hard money is essentially an asset-based loan with a high interest rate. The credit score of the borrower is not important, as the loan is secured by the value of the collateral property.  Many hard money mortgages are made by private investors, generally in their local areas. Typically, the biggest loan one can expect would be between 65% and 70% of the property value. That is, if the property is worth $100,000, the lender would advance $65,000–70,000 against it. This low LTV (loan to value) provides added security for the lender, in case the borrower does not pay and they have to foreclose on the property. Arizona Hard Money loans are collateralized against the property for which the loan is made. Our private lenders fund in the first lien position, meaning that in the event of a default, they are the first creditor to receive remuneration.

MANY ARIZONA HARD MONEY LOANS ARE BASED ON A PERCENTAGE OF THE “QUICK-SALE VALUE” OR “PURCHASE PRICE AT AUCTION” OF THE SUBJECT PROPERTY DEPENDING ON THE SPECIFIC LENDER. THIS IS CALLED THE LOAN-TO-VALUE OR LTV RATIO AND TYPICALLY HOVERS BETWEEN 60 AND 70% DEPENDING ON WHICH OF OUR LENDERS YOU CHOOSE TO USE FOR YOUR PURCHASE. FOR THE PURPOSE OF DETERMINING AN LTV, THE WORD “VALUE” IS DEFINED AS “TODAY’S PURCHASE PRICE” FOR SOME OF OUR LENDERS AND “CURRENT MARKET VALUE” FOR OTHERS. YOUR FINAL PURCHASE PRICE AT AUCTION WOULD DICTATE WHICH OF OUR PRIVATE HARD MONEY LENDERS WE WOULD RECOMMEND TO FINANCE YOUR PURCHASE AND FINALIZE THE TRANSACTION. PRIVATE HARD MONEY LENDERS FUND THE TRANSACTION IN 24 HOURS IN ACCORDANCE WITH ARS STATUTES ASSOCIATED WITH PURCHASE OF HOMES AT TRUSTEE SALES.


Arizona Hard Money
Arizona Hard Money

How to Keep your budget when flipping homes and using Arizona Hard Money


Arizona Hard Money  - How to Keep your budget when flipping homes

Budgets can balloon quickly on fixer-uppers. If you decide to invest in one, you need a high tolerance for risk, an exit strategy, and an Arizona Hard Money loan to help you cover costs.

This is the consensus from most home remodeling experts; You can make more money on a really cheap house that you turn into a nice house than a nice house that you turn into a premium house. All those expensive upgrades don’t offer nearly as much return on your investment as fixing a cracked foundation does. For most people, this means hiring workers, or having a lot of help.  The more people you get involved, the more coordination is required. You’ll have to keep very close tabs on plumbers, electricians and handymen — or hire a general contractor (which means a big increase in your budget).  Think local. If you’re remodeling a house in Massachusetts, use clapboard, not adobe bricks. The closer to home you stick for materials, the more experts you’ll be able to find to help you install them.

DON’T OVERESTIMATE YOUR WORK. SURE, THAT PAINT JOB LOOKS NICE, BUT IS IT REALLY WORTH A $20,000 MARKUP ON THE PROPERTY? OVERPRICING YOUR PROPERTY COULD JUST LEAVE YOU WITH A HOUSE THAT PEOPLE ARE WARY OF BECAUSE IT’S BEEN ON THE MARKET TOO LONG AND WITH AN ARIZONA HARD MONEY LOAN IT IS KEY TO SELL THE PROPERTY QUICKLY SINCE YOU DON’T WANT TO PAY THE INTEREST ON YOUR HIGH INTEREST LOAN.

Don’t get ahead of yourself. First-time flippers may see dollar signs when they think about buying multiple properties, but problems can quickly turn into bankruptcy if you’re using one house’s equity to pay for another’s repairs. Plus, each home requires attention, and unless you’re quitting your day job — which the experts also don’t recommend for newbies — you will probably have plenty to do for one house without thinking about your next flip.  However long you think the renovation will take and whatever you estimate it will cost, just understand that it will probably be much costlier and more time-consuming.  Nearly every upgrade you skimp on will haunt you, remodelers warn. From cheap carpet to cheap electricians, quality of workmanship is something that flippers cannot fake in a softening market.
Arizona Hard Money
Arizona Hard Money

Curb Appeal is great for home flipping when using Arizona Hard Money


Arizona Hard Money - Curb Appeal is great for home flipping.

A huge aspect to consider when flipping a home is curb appeal — the outside of the house. You might need to paint, landscape and fix up the driveway, which adds to the budget. If you’ve bought in a pricey neighborhood, mowing the lawn and repairing the fence may not be enough — there could be homeowners’ association fees. In up-and-coming neighborhoods, you might have to budget for security measures. once you have your budget, and your Arizona Hard Money loan you can choose your spot to buy your home.  Once you’ve decided on what kind of house to flip — new construction, a fixer-upper or a foreclosure — you need to figure out the neighborhood.

Don’t skimp on the research here. Make sure you really investigate the area — drive around during the day and at night, check recent sale prices and find out if any other flippers are sitting on empty houses.  If you’ve decided to flip a new home, your options are somewhat limited to what’s being built in the area — typically in housing developments. Some communities also have restrictions on buyers, requiring them to live in the house so the community doesn’t end up a ghost town.

IF YOU’VE OPTED TO BUY A HOME IN FORECLOSURE, YOU’LL BE BUYING FROM A LENDER — FORECLOSED HOMES ARE ALSO KNOWN AS REOS, OR REAL ESTATE OWNED BY THE LENDER. PURCHASING AN REO IS A LENGTHY PROCESS, TYPICALLY SIX TO EIGHT MONTHS. THIS IS BECAUSE FOR A BANK TO FORECLOSE ON A HOME, IT MUST FILE COURT PAPERS AGAINST THE HOMEOWNER, WHICH TAKES AWHILE. IF IT’S AN AUCTION, YOU’RE RULED BY THAT TIMETABLE. AND BECAUSE THE HOME IS SOLD “AS IS,” BANKS MIGHT NOT BE AS WILLING TO HAND OUT A LOAN.  IN THIS CASE DEFINITELY FIND  ARIZONA HARD MONEY, BECAUSE THEY WILL HAND OUT A LOAN FOR A PROPERLY THAT NEED RENOVATIONS AND WORK.  IF YOU’RE DETERMINED TO BUY A HOUSE IN FORECLOSURE, THERE ARE PLENTY OF WEB SITES THAT LIST REO HOUSES, OFTEN FOR A FEE. AND MANY LENDERS, LIKE FANNIE MAE, LIST THE HOMES THEY HAVE IN FORECLOSURE. A WARNING HERE: MANY OF THESE SITES WILL LET YOU SEARCH FOR HOMES ANYWHERE IN THE COUNTRY, BUT EXPERTS AGREE THAT ONE OF THE BIGGEST MISTAKES FLIPPERS MAKE IS BUYING A HOUSE SIGHT-UNSEEN. THE PHOTO OF THE HOUSE MAY BE PRETTY, BUT THERE’S NO WAY TO GUARANTEE ANYTHING ELSE. IT DOESN’T GIVE YOU ANY CLUES ABOUT THE NEIGHBORHOOD, AND THERE’S NO WAY OF KNOWING HOW OLD THE PICTURE IS.

 Arizona Hard Money
Arizona Hard Money

Monday, June 11, 2012

It’s not too late to make distressed sales part of your repertoire use Phoenix Hard Money


Phoenix Hard Money.
Until the amount of distressed inventory returns to a normal level, under 5 percent, real estate pros face the unenviable task of clearing these sales as efficiently as possible.

Distressed listings typically sell for 15 to 20 percent below market value, which can cause a drag on home prices overall, according to data assembled by the NATIONAL ASSOCIATION OF REALTORS®. Phoenix hard money lenders.

THE SHARP PRICE PHOENIX HARD MONEY DISCOUNT ON TODAY’S DISTRESSED SALES IS A SYMPTOM OF AN IMBALANCED HOUSING MARKET. IN BETTER TIMES, A DISTRESSED PROPERTY MIGHT BE SNAPPED UP AT MARKET VALUE. CONSEQUENTLY, THE MARKET NEEDS STRONGER HOME SALES VOLUMES TO REDUCE THE NUMBER OF HOMES ON THE MARKET AND TO STABILIZE PRICES. AS RISING PRICES ALLOW TROUBLED AND UNDERWATER HOME OWNERS, WHO ACCOUNT FOR ROUGHLY 22 PERCENT OF MORTGAGED HOME OWNERS, TO REFINANCE, THEIR HOPES ARE RAISED. ROBUST HOME SALES AND HOME PRICE GROWTH ALSO BREED CONFIDENCE IN THE MARKET FOR WOULD-BE BUYERS. PHOENIX HARD MONEY .

By far the best remedy for the ailing housing market is a stronger economy. Job growth and stock market gains are closely tied to consumer confidence, with consumers commonly citing concerns about jobs as the main reason for not purchasing a home.
Behind the Drag
Ongoing concerns that Europe’s debt crisis could spread and reduce domestic economic growth, a lack of consensus in Congress over the deficit reduction plan, and a major revision to economic growth in the first half of 2011 combined to send stocks on a roller coaster ride in the second half of 2011. In August, consumer confidence fell to its lowest level since the recession began in 2007, and neither businesses nor consumers appear willing to drive the economy. Indeed, job creation has averaged less than 150,000 jobs per month over the last year, below the amount needed to absorb college and high school graduates entering the workforce.

The economy isn’t the only factor restraining the demand for housing. Credit standards and down payment requirements have been ratcheted up in recent years at the FHA and government-sponsored enterprises, but banks have raised their standards even further in an attempt to limit potential lawsuits. As a result, FICO scores on loans backed by Fannie Mae rose from an average of 719 in 2005 to a peak average of 756 in the second quarter of 2011. Likewise, FICO scores on loans originated through the FHA averaged 632 in the second quarter of 2007 but reached 700 in the second quarter of 2011. And anecdotal evidence suggests that down payments greater than 20 percent are the norm outside of the FHA. Although traditional credit standards are a good thing, the pendulum has swung too far in this direction. Punishing quality borrowers for the mistakes of the past is not good for the health of the markets or the economy.  Phoenix hard money lenders.

Another factor keeping the level of distressed properties high is the so-called “shadow inventory,” the cache of homes not yet on the market but already—or likely to end up—on the balance sheets of banks, the FHA, Fannie Mae, or Freddie Mac and thus for sale.
Rain Delay
On the bright side, both MLS inventories and shadow inventory showed signs of easing in 2011. In September 2011, an estimated 3.5 million homes appeared on MLSs across the country, 13 percent fewer than a year earlier. Meanwhile, from February 2010 to July 2011, the shadow inventory dropped from 1.9 million to 1.6 million, according to calculations by NAR researcher Selma Hepp. The reduced inventory was partly a result of firming home prices and employment growth that carried into 2011. Taken together, these factors lowered the national 90-day delinquency rate from 5 percent of all mortgages in the first quarter of 2010 to 3.5 percent in the third quarter of 2011.  However, the foreclosure rate remains historically high. Not only that,  the temporary moratorium on foreclosure sales by many large banks in the latter half of 2010 and early 2011 to correct processing problems held up the sale of a large number of properties that will eventually be sold. Phoenix hard money lender.
In all, short sales rose by 26,000 last year while foreclosures fell by 255,000, according to Hope Now, a mortgage industry alliance. September 2011 marked the 12th straight month in which foreclosure activity decreased on a year-over-year basis, according to RealtyTrac. In October, however, filings spiked 7 percent from the previous month, and the month-over-month activity was much higher in the housing markets of California, Nevada, Arizona, and Florida, where the downturn was sharpest, as well as in markets where the judicial process held up foreclosure sales. In a Nov. 10 press release, RealtyTrac CEO James Saccacio said, “The October foreclosure numbers continue to show strong signs that foreclosure activity is coming out of the rain delay we’ve been in for the past year.”
Government programs aimed at helping struggling home owners haven’t had the effect many hoped for, but some retooling is underway. In November, the Home Affordable Refinance Program program was revised with relaxed criteria that observers hope will double the number of home owners who’ll eventually benefit. Meanwhile, private loan modifiers have shifted their strategy to focus on reducing monthly payments; the share of loans that are six or more months in default 12 months after modification has improved, from 58.1 percent in 2008 to 26.6 percent in 2010. Phoenix Hard money lender.
It’s not too late to  make distressed sales part of your repertoire. This special report looks at how these  sales have changed since the wild, wooly days of 2008 and provides insights on how to run a successful short sale or foreclosure operation. Phoenix hard money lenders
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Phoenix Hard Money Lender

Housing Affordability Soars to Record High with Phoenix hard money lenders


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Low mortgage rates and falling home values have brought housing within reach to more families than ever before, according to the latest National Association of REALTORS® housing affordability index. 
Housing affordability in January reached its highest level since NAR began tracking it in 1970. The index — which tracks median home price, median family income, and the average mortgage rate — reached 206.1 in January. 

Phoenix Hard money lenders

    ALL THE MORE REASON TO USE PHOENIX HARD MONEY LENDERS!

    Phoenix Hard Money Lenders
    Phoenix Hard Money Lender


Foreclosure Backlogs Starting to Clear through Phoenix hard money lenders


Phoenix hard money lenders say on 03/07/2012 
Foreclosure starts rose 28 percent while foreclosure sales soared 29 percent in January compared to the previous month, according to the latest Lender Processing Services’ January Mortgage Monitor report.

Phoenix Hard Money Lenders

THAT’S RIGHT, USE PHOENIX HARD MONEY LENDERS!

phoenix hard money lenders
Phoenix hard money lenders