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

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Tuesday, September 25, 2012

Quick Answers to Quick Arizona Hard Money Questions


Quick Answers to Quick Arizona Hard Money Questions

Anytime your money is involved you need to know the answers to ALL of your questions. This is especially true with Arizona hard moneyIf you’re thinking about an Arizona hard money loan, you need to gather as much information as possible. Listed below are a few FAQs to Arizona hard money loans.

Arizona hard money FAQs

1. How do I get approval for an Arizona hard money loan?
Getting approved is easy! Lenders don’t base your eligibility on credit score, employment history, or current income. In fact, you don’t even have to provide any financial information. All your lender needs to know are the logistics of your property. Hard money loans are strictly equity-based, so you have quite a bit of leeway when it comes to eligibility.
2. What LTV (Loan to Value) ratio can I expect?
This number will be based on quite a few factors and determined on a case-by-case basis. However, as a general rule, most LTVS will be anywhere from 65% to 80% of the value of the home. This number can fluctuate greatly, but this is a good base to go off of.
3. What are the costs of Arizona hard money loans?
All hard money loans are going to require a Title policy, insurance, and appraisal. These services do cost money--even up to a couple thousand dollars. Often times though, this will only cost a few hundred dollars. Most hard money lenders will not charge application fees or closing costs, so, by the time you even find the lender you want to use, most of the expenses have already been taken care of.
4. Do I have to put money down?
Most of the time, you do. Lenders need to feel confident in their investment, so they need to see that you have enough resources to cover the costs of the loan. Expect to pay a little bit out of pocket until the project is completed, but nothing that will break the deal.

Arizona hard money eligibility

Arizona hard money eligibility

If all you know about financial lending institutions and the finance world is that getting a loan is difficult--and perhaps, not in your near future--you know enough. That’s OK, too. The majority of people actually don’t know much about loans and borrowing money and they don’t bother to find out information on them until they need one. If you already know you cannot qualify for a loan, or if you have been declined financing for your home purchase, an Arizona hard money loan could be just right for you.
Getting approved for an Arizona hard money loan is really simple. With Arizona hard money loans, you don’t have to worry so much about your personal financial profile. In fact, things such as credit, income, employment history, and ability to pay don’t have much to do with it. These types of loans are equity-based, so it’s more about the property than anything else.

Considerations in the Arizona hard money world

The first and most important thing lenders consider is the equity of the property. Is it worth it? Or is your investment project just going to turn into a hot mess? Hard money lenders consider the LTV (loan to value) ratio between the amount you want to borrow and the value of the property. For you, this usually means approval of a loan for an amount between 65% and 80% of the home value. I
Do you have any other liens on the property? Hard money lenders take into account if you have any other previous liens. If so, you may not get approved for a loan. Hard money lenders will not agree to loan money on a secondary basis. They must be the PRIMARY lienholder. Still, this is always worth checking into.
One of the main reasons people seek hard money loans is because they do not have the credit or income level necessary to qualify for a loan from banks or other lending institutions. So, as stated before, qualifying for Arizona hard money does not mean that you have to have a good financial past. Again, these loans are equity-based. (Although, good credit can never hurt a person.)

Overall, Arizona hard money loans are less restrictive and easier to qualify for than other loans. One of the great things about these types of loans is that you get to work out the logistics of it personally with your investor or lending company. Many people find that Arizona hard money loans are viable and trustworthy places to get the money they need quickly and easily.

How Arizona hard money can be borrowed and used


How Arizona hard money can be borrowed and used

The first and most common example of Arizona hard money loans is a residential investment loan. This is for an individual person seeking a loan and the property purchased with the money is then used as collateral. Fortunately for the buyer, this eligibility for this loan is determined on the property, not on the borrower’s ability to pay.
Next, we have Arizona hard money for commercial investments. This is for companies (small or large) looking to invest in property or in a “fix-and-flip” project. (This can also be done as an individual, but is a little less common.) In the residential case, your company might not have ownership of other property to use as collateral, so instead, they may accept interest in your company. Basically, the Arizona hard money lender would be a part-owner of the business, at least until the project is completed and the money has been paid back to the lender.
Most Arizona hard money loans are a bit shorter loans--about 6-36 months. When done correctly, both the lender and the borrower can actually profit. After you have revamped the property you purchased, you can turn around and sell the property for more than what you paid for it. Then, you pay off your loan, make the homebuyer happy, and you have a little extra cash in your pocket. If you play your cards right, you can actually turn this into a profitable income for yourself.

The possibilities are endless with Arizona hard money!

How do I find the right Arizona hard money lender?


How do I find the right Arizona hard money lender?

Finding an Arizona hard money lender can seem like a daunting task. In fact, you may be so deep in financial hardship, it’s taking all of your strength just to keep your head above water. When you don’t have anywhere to turn, Arizona hard money lenders are there for you. After you find the right hard money lender for you, they can loan you the money you need in as little as 24 hours and set you on the path to financial freedom. There are a few ways to find the right Arizona hard money lender and it is on you to make sure you find the right one for your needs.
First, you need to determine the kind of hard money you are seeking. Are you a commercial developer in need of hard money? Or are you an individual interested in a residential hard money loan? Deciding which category you belong to is the first step to consider before looking further.
Then, crunch the numbers and configure how much money you need. Remember that Arizona hard money lenders will loan you up to 80% LTV (loan to value), but this amount could also be as low as 65%. Keep your number somewhere between that range and then start doing your research. You probably already have your purchase in mind, so do the math. How much can you afford? How much do you need to borrow? What can you do to minimize costs?

Researching an Arizona hard money lender

What better way to start than with everyone’s favorite research tool? You don’t even have to get off the couch--start with the internet. Use a search engine such as Google or Bing and type in the words you are looking to find. For example, if you wanted to find a lender in your area, you may type “Arizona hard money lenders.” Undoubtedly, several hundred (if not thousand) websites are going to pop up. This can also be daunting. Click on some of the sites and compare and contrast what you see. Make a few lists of the things that seem legitimate to you and also keep a list of lenders that seem a little sketchy. It isn’t too much to ask to have your hard money lender at least have a legitimate looking website if they are going to be dealing with your finances.
One of the most important things to remember is that if it seems too good to be true, IT IS! Don’t do anything you feel uncomfortable with, even if it seems like a good deal. Trust that gut feeling of yours, even if it means the lender you decide on has slightly higher interest rates. Don’t let your vulnerable situation lead you down a path that you feel to be wrong.
When you find a decent looking lender, look up some customer reviews. You can learn about a lender by simply reading what other people’s experiences have been like with them.
The different types of Arizona Hard Money available in your area.

There are lots of ways to make Arizona hard money work for you. The most common situation is a person seeking a loan to purchase a home who cannot get approved for a loan by a traditional lending agency like a bank. While most people think of Arizona hard money loans as those high-interest, last-resort, type of money options, they can actually be used creatively and efficiently so that the lender and the borrower both end up profiting in the end. Believe it or not, it can be done!

Monday, September 24, 2012

Arizona hard money lenders as a help to the economy


Arizona hard money lenders as a help to the economy

Not a soul in America would be surprised to hear about the troubled economy. In fact, our nation’s financial burdens are so abundant that almost nothing surprises us--we have become desensitized to this kind of material. We all know the government is in trouble, we know our neighbor is in trouble, our distant relatives maybe--but what happens when YOU are the one in a financial hardship?
Between home repairs, medical bills, children and family needs, grocery bills, cell phone, tv, internet, and unexpected costs, there never seems to be enough money to go around. An unexpected job loss or pay cut can devastate a family that is just barely getting by. If this situation sounds anything like yours, it might be time to consider finding an Arizona hard money lender.

How Arizona hard money lenders solve these problems

Unfortunately, banks don’t take a personal interest in their clients. If you can’t pay, you don’t get a loan. It’s as simple as that. Your ability to pay is based on your credit, income, employment history, and the like--not on your integrity or how hard you are working. All this denial by bank has created a ripe market for Arizona hard money lenders.
How on earth would people who are in the business of debt stimulate the economy? Crazy, right? Here’s how: Arizona hard money lenders stimulate the economy by lending to individuals when other lending institutions and banks won’t. Obviously, the lending process alone does not directly stimulate the economy. It must go one step further than that. When borrowers receive hard money, they normally spend the funds on the goods and services required for fixing up their new home purchase. These goods and services are often bought in their hometown and provide business for  small companies. This creates commerce for all parties and manufacturers involved in the process, whether directly or indirectly. Make sense?

If you have the funds to become an Arizona hard money lender, contact a hard money institution today. Then, you can loan your money to borrowers who need it and sit back and watch your money grow...you don’t even have to move a finger! If you are on the other end of the table and are looking to be approved by an Arizona hard money lender, look no further. With no proof of income required, no application fees or closing costs, and little wait time, you could be approved for a hard money loan in no time. Basically, hard money loans are a win-win situation for all involved.

Why do Arizona hard money interest rates seem to be higher than bank rates?


Why do Arizona hard money interest rates seem to be higher than bank rates?

Why the high interest rates on Arizona hard money loans?

You may have heard the term “hard money” floating around in recent years and considered the possibility of purchasing a home this way. However, the little bit higher interest rates that come along with Arizona hard money tends to scare borrowers away. Make sure you know the basics of Arizona hard money before writing it off completely--you never know how you could make it work for you!
The first thing to understand is that Arizona hard money loans are equity-based. That means your eligibility for a loan does not come from your credit, ability to pay, or employment status. In fact, the loan is solely based on property value. What does this mean for you and your lender? Quite simply, it means that you have not been able to get approved for a traditional bank loan. It also means than a hard money lender is taking a significant risk by allowing you to borrow his or her personal money for a time, honestly not knowing if they will get it back. Hard money loans take a significantly higher risk than banks because the loans are based so little on you and so much on the property value.
Another thing to remember is that Arizona hard money loans are typically shorter than bank loans. Usually, these loans last anywhere from 6-36 months, but can fluctuate depending on the situation.
Another reason borrowers experience a bit higher interest rates is because they are not required to pay any application fees, recording process fees, documentation fees, or closing costs. All of those expenses add up quickly and they have to be accounted for somehow.
The main reason Arizona hard money loans charge a bit higher interest rates because of the significant risk taken on behalf of the lender. These lenders go where banks refuse to go, and they lend to those individuals who would never be loaned to otherwise. They don’t look at a borrower’s ability to pay--they simply trust that that borrower will do what they say they will.

What about LTV in terms of Arizona hard money?

Simply put, the LTV stands for the Loan to Value ratio of an Arizona hard money loan. Sometimes, borrowers can receive up to 80% of the money pertaining to the property value. Most of the time, this number is anywhere between 65% and 80%.  This is determined on a case by case basis and is a decision made between you and your borrower.

Making your dreams a reality through Arizona hard money


Making your dreams a reality through Arizona hard money

You know when you’ve found it. It is the perfect size, shape, and color. It meets all the needs of your family, it is comfortable, inviting, and needs to be YOURS. When you find the home of your dreams, the last thing on your mind is playing the waiting game with your lender. And, sometimes when you do choose to play the game, you don’t get approved for the loan and the home has been bought out from underneath you. Believe it or not, there is a solution to this situation so many Americans find themselves in.
This is where Arizona hard money comes in. Arizona hard money loans are loans that are equity-based and processed and approved in as little as 24 hours. For the most part, hard money loans are funding for foreclosed homes and short sales, but can also be used for fix-and-flip projects or property/land purchases. Since the item you wish to purchase ultimately becomes the collateral for your lender, it is at their discretion as to whether or not they will approve your loan.
Most LTVs (Loan to Value Ratio) are anywhere from 60% to 80% of the home purchase. That means if you wish to buy a home for $100,000, you will be loaned anywhere from $60,000 to $80,000 worth of the investment. Arizona hard money is a good way to put a lot of money down on a home and then pay it back rather quickly. This helps you avoid all the mess with banks having to check your credit, employment history, and pay stubs.
While interest rates can be fairly high for hard money loans, many are short-term (about 6-36 months) so they can be paid off quickly. When acting on a short sale or purchasing a foreclosed home, the money you save could definitely be the little bit higher interest rate you would pay for the loan.

Becoming eligible for an Arizona hard money loan

The best part about applying for a hard money loan is that it couldn’t be easier to qualify. You simply contact a hard money company or lender, show them your plans and ideas, and you can get your Arizona hard money in as little as 24 hours. Eligibility for Arizona hard money is not based on credit, income level, or employment. In fact, the main determination in eligibility has nothing to do with you at all! It is all about the property you are looking to purchase. It just doesn’t get much easier than the process of hard money.

How do you know when it is time to consider Arizona hard money?


How do you know when it is time to consider Arizona hard money?

Sure, you may have heard the term thrown around here and there, but do you really know what Arizona hard money is? How do you know when it is time for you to consider an Arizona hard money loan? There are several paths that could lead you to hard money, but smart investors and borrowers know how to make it work in their favor.
Perhaps you are a beginner in the investment world without the money or the means to make it work. Maybe you have an ideal home project or purchase in mind but poor credit and a shaky financial past is keeping your from qualifying for any type of home loan.
Because typical loans can take at least 30 days to process and qualifying for one can be quite a hassle, Arizona hard money is a convenient alternative to traditional methods of borrowing money. Many lenders do not require a credit check or proof of income.

Creative ways to use Arizona hard money

Arizona hard money can also used as a creative way to finance your home or property. Consider this: Most people consider anything with the term “loan” in it as a way to find yourself even deeper in debt. But, believe it or not, both you and your hard money lender can actually profit from Arizona hard moneySeems too good to be true, right? Think again.
If you are loaned enough money to buy a foreclosed home, you can actually show the lender your plan of action, fix the home up, and sell it at under-market value (but, of course, for an amount more than you paid for it.) Obviously it costs money to make money in this situation, but it is certainly an option for those who are ambitious and willing to go the extra mile to make a buck. When all is said and done, you have paid your lender back, equipped a new family with the home of their dreams, and you have money in your pocket.

Whether you found a great deal on a home and are anxious to buy, or you are looking for a way to finance your property creatively, the opportunities for Arizona hard money are endless!

Arizona hard money lenders are unique.


Arizona hard money lenders are unique.

When you and your spouse decide to purchase a home, you are taking one of the biggest risks of your lives. Of course, if you live within your means and keep a strict budget then this would help you breathe a little easier. But, there are times where money becomes tight even when you are wise with your finances. Sometimes people have to file for bankruptcy and have their house foreclosed due to unlucky conditions whether it comes from losing a job, hard economical times, or got in a bad accident. But thank goodness for Arizona hard money lenders. They can help you when you are falling behind on your mortgage by providing you a way to avoid bankruptcy.
They provide short term loans (3-36 months) to those who are in need of help with their finances. Hard money companies are lenders who offer a specialized type of real-estate loans. Hard money lenders generally have much higher interest rates than banks because they fund deals that do not conform to bank standards.
The last thing that we would want to do is go into foreclosure, or into big debt that seems overwhelming. One of the hardest things to overcome when faced with an obstacle such as this is to wonder how you are going to become free from the debt. Just because your past has been full of financial troubles, it doesn’t mean that your financial future is in a crisis. There is help. An Arizona hard money lender can give you the quick loan you need to avoid bankruptcy and other troubles. Banks will always look at your credit score, credit history, and other components of your finances to give you a loan, but a hard money lender will not even look at either of those options.

Arizona hard money lenders are with YOU.

As I had mentioned before, Arizona hard money lenders will go where no bank would even consider. Rather, they are on your side. They understand your situation and will do everything in their power to see that you are rewarded a loan for a home or project you want. Most Arizona hard money lenders loan money for buying a foreclosed or short saled home, home projects, or any other type of property or real estate investments.

The interest rates for most hard money lenders are higher than banks because they are taking a higher risk on you. But the good part about Arizona hard money lenders is that the loan period is generally a lot shorter than banks. They average anywhere from 3-36 months. Remember that Arizona hard money lenders will often approve you for a loan of up to 80% of the property’s value (though this number is usually closer to 60%) in as little as 24 hours.

You can be approved for Arizona hard money


You can be approved for Arizona hard money

What are the typical items banks consider when lending money to a borrower? Any person who has tried to get a loan and has been denied knows the answer to this question. Credit, income, job history, and assets are usually how banks make their determination. What they don’t take the time to consider is that a few small mishaps can destroy credit, that not everyone’s income is consistent, and hte some people  just don’t have much to show pertaining to their assets.
This is where the difference comes in between typical money lending institutions and Arizona hard money. When dealing with Arizona hard moneyyou are talking to private money lenders who understand these situations and are willing to help. This kind of money is loaned mainly for home purchases or renovations and is strictly equity-based.

How to get approved for Arizona hard money

Sure, good credit can help you in almost any financial situation. When it comes to Arizona hard money, good credit can help you get a lower interest rate, but it does not determine your eligibility whatsoever. Still, the interest rate is mostly determined based on the length of the loan.
Believe it or not, you can get your Arizona hard money loan approved in and walk away, cash in hand, in as little as 24 hours. You do not have to pay for application fees, closing costs, appraisals, or loan forms...you just find the hard money lender and let them do the rest! It just doesn’t get any simpler than this.

You do need an evaluation of the property, signed documentation, and a few other miscellaneous documents before the loan can be completed, but nothing too out of the ordinary. Arizona hard money is a great solution for those looking to buy a home, renovate a property, or purchase a piece of land. What are you waiting for? Isn’t it time you considered Arizona hard money?

Arizona hard money lenders are different from banks


Arizona hard money lenders are different from banks

The last thing that we would want to do is go into foreclosure, or into big debt that seems overwhelming. One of the hardest things to overcome when faced with an obstacle such as this is to wonder how you are going to become free from the debt. Just because your past has been full of financial troubles, it doesn’t mean that your financial future is in a crisis. There is help. An Arizona hard money lender can give you the quick loan you need to avoid bankruptcy and other troubles. Banks will always look at your credit score, credit history, and other components of your finances to give you a loan, but a hard money lender will not even look at either of those options.
Arizona hard money lenders loan money to complete strangers without looking at their credit history, employment record, or your ability to pay. This does indeed make it a significant risk when loaning their money to borrowers, but they are here to help and they understand what you are going through. Hard money loans are strictly equity-based and they use the home you are purchasing as collateral in order to ensure repayment. They can get you the money you need in a matter of 24 hours.

Arizona hard money lenders are with YOU.

As I had mentioned before, Arizona hard money lenders will go where no bank would even consider. Rather, they are on your side. They understand your situation and will do everything in their power to see that you are rewarded a loan for a home or project you want. Most Arizona hard money lenders loan money for buying a foreclosed or short saled home, home projects, or any other type of property or real estate investments.

The interest rates for most hard money lenders are higher than banks because they are taking a higher risk on you. But the good part about Arizona hard money lenders is that the loan period is generally a lot shorter than banks. They average anywhere from 3-36 months. Remember that Arizona hard money lenders will often approve you for a loan of up to 80% of the property’s value (though this number is usually closer to 60%) in as little as 24 hours.

Arizona hard money lenders go where banks won’t.


Arizona hard money lenders go where banks won’t.

Have you ever found yourself in a serious financial situation? One of the hardest things to think about when you are faced with this crisis is how in the world are you going to get yourself out of this trouble and onto dry land again. You may have had a difficult past financially speaking, but that doesn’t actually predict your financial future. There is hope in the horizon for those who find themselves in these types of situations. If you need a quick loan for a home or project, you can bet on an Arizona hard money lender to help you out.
How Arizona hard money lenders work is they provide you a loan without looking at your credit score or history unlike banks and other loan agencies do. Hard money loans are strictly equity-based and they use the home you are purchasing as collateral in order to ensure repayment. They take a big risk in providing you the money you need, but they understand your situation and want to help you live your American dream.

Arizona hard money lenders want to help YOU.

Arizona hard money lenders will go where banks and other loaning agencies wouldn’t even dare or consider. Rather, Arizona hard money lenders are on your side and they want to help you out as best as they can. They will see that you receive what you are looking for whether it be a home or a construction project. Most of the time, they will loan you money for buying a foreclosed home or short sale home, fix and flip projects, and other types of real estate investments. Don’t look for them to give you a loan for some big hummer or lamburgini, but they will definitely help you restore your dreams of owning a house.

Typically, most hard money lenders have a little higher interest rates than traditional loans. This is because the risk is higher by loaning to you without checking your credit score and history, and other considerations. Arizona hard money lenders will, however, provide you a shorter loan than normal (anywhere from 3-36 months) so that the higher interest rate from a bank won’t add up as quickly as a hard money lender. One thing to keep in mind is that an Arizona hard money lender will often approve you for a loan of up to 80% of the property’s value in as little as 24 hours.

Arizona hard money lenders go where banks won’t


Arizona hard money lenders go where banks won’t

There are few things more disheartening than financial troubles. Worst case scenario is when you find yourself in a hole you know you can’t get out of. You may have had a difficult financial past, but that doesn’t necessarily predict your financial future. If you need a quick loan for a home or project and your bank or other money lending companies will not approve you, you can almost always count on an Arizona hard money lender.
Arizona hard money lenders take a significant risk in loaning their money out to borrowers. Not only do they loan the money to a complete stranger, they do not base the loan on your credit, income, employment history, or ability to pay. Hard money loans are strictly equity-based and they use the home you are purchasing as collateral in order to ensure repayment. Arizona hard money lenders will loan to YOU, and they can get you your money in a matter of 24 hours.

Arizona hard money lenders are on your side

Like stated previously, Arizona hard money lenders will go where banks wouldn’t even consider. Obviously, they are you, the borrower’s, side. They want to help you out and will be willing to do so if they can see that your investment or project would be profitable in some home. Most Arizona hard money lenders loan money for buying a foreclosed or short saled home, fix-and-flip projects, and other types of property or real estate investments. Needless to say, you can’t exactly go buy a new ferrari with hard money, but you can certainly put the money toward the home of your dreams.

Most hard money loans have a little higher interest rates than traditional loans. This is because, as mentioned before, Arizona hard money lenders are taking a bit bigger risk by loaning to you without first checking your credit or other components of your financial history. However, these loans are typically shorter than other loans (around 3-36 months) so that higher interest rate does not add up quite as quickly. Remember that Arizona hard money lenders will often approve you for a loan of up to 80% of the property’s value (though this number is usually closer to 60%) in as little as 24 hours.

Quick Answers to your Arizona hard money questions.


Quick Answers to your Arizona hard money questions.

If you’re thinking about an Arizona hard money loan, you undoubtedly have questions. Listed below are seven quick questions with seven quick answers to help you understand a little bit more about Arizona hard money.

Five Arizona hard money questions and answers

1. What is the interest rate on an Arizona hard money loan?
This question depends on the lender. No two lenders are alike and will base their interest rates on a variety of factors. However, most interest rates on hard money loans will range from 10% to 18%.
2. What Loan-to-Value are lenders seeking?

Arizona hard money lenders, again, will base this number based on quite a few factors. Most of the time, the LTV will be about 70% of the after-repaired value. However, this number can range anywhere from 65% to 80%.

3. What are the costs of Arizona hard money loans?
All hard money loans are going to require a Title policy, insurance, and appraisal. These services do cost money--even up to a couple thousand dollars. Often times though, this will only cost a few hundred dollars.
4. Does my credit matter?

Yes and no. Your eligibility is not determined on credit, so having bad credit doesn’t hurt you too much. However, if you have decent credit, it can establish your credibility and ensure the lender of your ability to repay. However, the loan is based on the value of the property in the end. Many people seek hard money loans mainly because of their poor credit and inability to receive a lower-interest rate loan from the bank.

5. Do I have to put money down?
Yes, most of the time. Lenders want to feel confident in their investment, so they need to see that you have enough resources to cover the costs of the loan. Expect to pay a little bit out of pocket until the project is completed.

What Matters (and what doesn’t) in Arizona Hard Money Loans


What Matters (and what doesn’t) in Arizona Hard Money Loans

First and foremost, what matters is that you need to be approved for a loan quickly and easily. That’s the good news. Fortunately for you, there is much more good news that comes when dealing with Arizona hard money loans. You need to do your research and find the right hard money lender for you. Obviously, you want to find one with low interest rates and a quick approval time, but that’s not all that matters in Arizona hard money loans.
It’s good to know that hard money loans are equity based and are usually approved for an amount somewhere between 60% and 85% of the value of the home property. This is a significant amount of the mortgage and can help you greatly if you cannot get approved by another lender. Arizona hard money loans are typically short-term, ranging from 6-36 months, so that’s important to know too.
It matters that you are professional and truly striving to make the payments of a hard money loan. Lenders are taking a significant risk in loaning the money to you because they are only basing their decision on the value of the home.You need to do all that you can to show them you value their business and are willing to hold up your end of the agreement.

What doesn’t matter in an Arizona hard money loan

There are other benefits for you in an Arizona hard money loan. If you have had trouble getting approved for a loan in the past, it could be due to your inability to pay or prove that you can handle the responsibility. However, if you have turned things around and are ready to take on another financial obligation, you can get approved for an Arizona hard money loan quite easily. Lenders do not check your pay stubs, tax information, or even your credit.
So basically, it is quite easy to get approved. If a lender can see that your home or project is worthy of investing in, they will approve you for a loan. Remember though that when you purchase your home, it is then used as collateral for the lender and can be used against you if you do not make your payments.

There are pros and cons in the hard money lending industry, as in any other industry involving money. You might find that interest rates are high, but that eligibility is easy. The approval time for an Arizona hard money loan is usually around 24 hours, so the money comes quickly. If you are looking for a way to fund your next home purchase or project, hard money lending could be right for you.

The Truth about Arizona Hard Money Lenders


The Truth about Arizona Hard Money Lenders

Many first time investors are curious about hard money  loans. What do these loan companies do? Who are they? Where does the money come from? These are all common questions coming from those with little to no experience with the hard money industry. Let me enlighten you on what Arizona hard money lenders do and a little bit about how they work.
The term “hard money” is important to understand. Clearly the opposite of what investors call “soft money” (that referring to loans that are easier to qualify for and are more flexible), hard money is a little more restrictive. This makes perfect sense because most hard money loans come from private Arizona hard money lenders and are not based on credit or ability to pay so the risk is much greater. This money does not come from a bank or typical lending institution, but rather from a private investor with extra money on hand.

Things to know about Arizona Hard Money Lenders

First, know that Arizona hard money lenders are on your side. They understand that a difficult financial past can damage your qualifying power but should not keep you from pursuing your dreams. That’s why they don’t check your credit, ask you to provide pay stubs, or investigate your financial history. The loans are completely equity-based, so they have less to do with you than you think.
Most Arizona hard money lenders will loan you anywhere from 60% to 85% of the value of the property or home you are looking into buying.  Typically these loans tend to be on the short side (about 6 to 36 months) and have higher interest rates than most loans. The interest varies according to your credit score and experience.

Do your research before deciding which Arizona hard money lender to pursue. Compare and contrast the interest rates, loan lengths, etc. so that you find the deal that is right for you. The most important thing to keep in mind is that you not ask more than necessary and that you have some sort of repayment plan in place.

Why Choose an Arizona Hard Money Loan over a Traditional Loan?


Why Choose an Arizona Hard Money Loan over a Traditional Loan?

Some people might think opting for a hard money loan over a traditional loan is a crazy decision to make. With higher interest rates and shorter loan lengths, why on earth would anyone make this decision?
There are many misconceptions about Arizona hard money loans. (A few of which are stated above.) There are also many reasons why hard money loans are a legitimate option for borrowers. Most of the time, borrowers who choose Arizona hard money loans simply cannot meet the compliance requirements of their bank’s or traditional lender’s guidelines. Sometimes when the only option you can qualify for is a hard money loan, you must proceed.
Another plus to Arizona hard money loans is that they are much more prompt than other lenders. In fact, a loan can often be approved and funded all in a day’s work. Many other lenders can take up to two weeks to process and approve the loan. That can be a long time to wait to possibly hear bad news.

What can Arizona hard money loans be used for?

There are a variety of uses for Arizona hard money loans. Another misconception about hard money is that it can only be used for home purchases such as short sales. However, that is not always the case. Funds from an approved Arizona hard money loan can also be used for fix-and-flip projects, property development, foreclosure bailouts, debt consolidation, probate resolutions, etc. The possibilities are practically endless with this type of money lending and exchange!

Before deciding which hard money lender is right for you, be sure to do your research! Compare and contrast several companies before making your final decision and go with what feels right. Obviously, this is a professional agreement, so you need to make sure  the company you choose has the highest level of professionalism.

Qualifying for an Arizona Hard Money Loan


Qualifying for an Arizona Hard Money Loan

You probably have some financial experience or at least some knowledge of traditional financing. If all you know is that getting approved for a loan is difficult, then you know enough. If you know that you have poor credit, you may not have even attempted to apply for a loan in the past. However, Arizona hard money loans could be the answer to your problems.
With Arizona hard money loans, you don’t have to worry so much about your personal financial profile--things such as credit, income, employment history, and ability to pay don’t have much to do with it. Arizona hard money loans are equity-based, so it’s more about the property than it is about you.

What Arizona Hard Money Lenders Consider

The first and biggest thing lenders consider is the equity of the property. Is it worth it? Or is your investment project not going to lend any positive results? Lenders consider the LTV (loan to value) ratio between the amount you want to borrow and the value of the property. In this case, make certain you are not asking to borrow an outrageous amount of money for a home that isn’t worth much. For the most part, Arizona hard money loans are usually between 65% and 80% of the value of the property.
Another factor lenders consider is previous liens. Do you have any other liens on the property? If so, you may not get approved for a loan. Hard money lenders will not agree to loan money on a secondary basis. They must be the PRIMARY lienholder. f
As stated before, qualifying for Arizona hard money does not mean that you have to have good credit or a high income. In fact, one of the main reasons people seek out hard money loans is that they do not have the credit or income necessary to qualify for a loan from the bank or other financial institutions.

Overall, Arizona hard money loans are less restrictive than traditional loans. There is less turnaround time, no need to provide proof of income, and you get to work out the plan personally with your investor or hard money company. Many people find that Arizona hard money loans are viable and trustworthy places to get the money they need quickly and easily.

Types of Arizona Hard Money


Types of Arizona Hard Money

There are lots of ways to make Arizona hard money work for you. While most people think of hard money loans as those high-interest, last-resort, type of money options, they can actually be used creatively and efficiently so that the lender and the borrower both end up profiting in the end. How can this be done, you ask? Read on to find ways to make Arizona hard money fit your circumstance!

Arizona Hard Money can be used in diverse situations.

The first and most common example of Arizona hard money loans is a residential investment loan. This is for a personalized and individual situation (not commercial) and the property is used as collateral. This type of loan, or any hard money loan for that matter, is not based on personal finances or income, but rather on the value of the property.
The second type of Arizona hard money is for commercial investments. This is for companies looking to invest in property or in a “fix-and-flip” project. In this case, your company might not have ownership of other property to use as collateral, so instead, they may accept interest in your company. Basically, the Arizona hard money lender would be a part-owner of the business.
Once again referring to the “fix-and-flip” type projects, Arizona hard money can be used for this type of situation. Basically, the hard money lender would give you a short loan (6-36 months) that you could  use while you are revamping the property. Then, you can turn around and sell the property you renovated for more than you bought it for, pay your loan off, and make a profit. This is a new and creative way borrowers are utilizing the services of Arizona hard moneyIn fact, in this instance, 3 people are benefitting: the lender, the borrower/project person, and the buyer of the home who just purchased a completely revamped and fabulous home or property.

These are only three ways you can make Arizona hard money work for you. The possibilities are endless! And, since each situation is completely unique, hard money consultants and companies can walk you through the process and help you explore your options.

Finding the Right Arizona Hard Money Lender for You


Finding the Right Arizona Hard Money Lender for You

Finding an Arizona hard money lender could seem like a daunting, insurmountable even, task. In fact, you may be so deep in financial hardship, it’s taking all of your strength just to keep your head above water. However, this situation does not have to be your reality. Arizona hard money lenders are available and ready to loan you the money you need and get you on your way to financial freedom. There are a few ways to find the right Arizona hard money lender.
First, you need to determine the kind of hard money you are seeking. Are you a commercial developer in need of hard money? Or are you an individual interested in a residential hard money loan? Deciding which category you belong to is the first step to consider before looking further.
Then, decide how much money you need. You probably already have your purchase in mind, so do the math. How much can you afford? How much do you need to borrow? What can you do to minimize costs? Remember that Arizona hard money lenders will loan you up to 80% LTV (loan to value), but this amount could also be as low as 65%. Keep your number somewhere between that range and then start doing your research.

The Research Process involved in finding an Arizona Hard Money Lender

Start with the internet. Use a search engine such as Google or Bing and type in the words you are looking to find. For example, if you wanted to find a lender in your area, you may type “Arizona hard money lenders.” Undoubtedly, several hundred (if not thousand) websites are going to pop up. Click on some of the sites and compare and contrast what you see. Make a few lists of the things that seem legitimate to you and also keep a list of lenders that seem a little sketchy.
Since you are about to receive a large sum of money from an Arizona hard money lender, you want to make sure that what you are getting is legitimate. If they are a trustworthy company or lender, you will be able to tell by your first impression of the website. Remember that, if it seems too good to be true, IT IS! Don’t do anything you feel uncomfortable with, even if it seems like a good deal. Trust that gut feeling of yours, even if it means the lender you decide on has slightly higher interest rates.

After you have found a few Arizona hard money lenders that look appealing to you, go back to your search engine. Even the most legitimate looking companies can fool their consumers, so it is important to look at customer reviews. Type the name of the business or individual hard

Friday, September 21, 2012

How do Arizona Hard Money Lenders Help to Stimulate a Troubled Economy?


How do Arizona Hard Money Lenders Help to Stimulate a Troubled Economy?

Financial burdens are all too abundant in this day and age. Between home repairs, medical bills, children and family needs, grocery bills, cell phone, tv, internet, and unexpected costs, there never seems to be enough money to go around. An unexpected job loss or pay cut can devastate a family that is just barely getting by. It is no surprise that most Americans are struggling to make ends meet with high unemployment rates and people working underpaid jobs that they are overqualified for. Many of these people are looking for other viable, trustworthy alternatives to make changes in their lives.

Arizona Hard Money Lenders as a Solution

Because so many Americans are experiencing the financial hardships mentioned above, there is not a chance that they could be approved for a loan. Sadly, most financial institutions and banks wouldn’t even consider lending to them!  This has created a ripe market for Arizona hard money lenders.
Arizona hard money lenders stimulate the economy by lending to individuals when other lending institutions and banks won’t. Obviously, the lending process alone does not directly stimulate the economy. It must go one step further than that. When borrowers receive hard money, they normally spend the funds on the goods and services required for fixing up their new home purchase. This creates commerce for all parties and manufacturers involved in the process, whether directly or indirectly. Make sense?

If you have the funds to become an Arizona hard money lender, contact a hard money institution today. Then, you can loan your money to borrowers who need it and sit back and watch your money grow. If you are on the other end of the table and are looking to be approved by an Arizona hard money lender, look no further. With no proof of income required, no application fees or closing costs, and little wait time, you could be approved for a hard money loan in no time. Basically, hard money loans are a win-win situation for all involved.

Why the high interest rates on Arizona hard money loans?


Why the high interest rates on Arizona hard money loans?

Borrowers of Arizona hard money loans sometimes find themselves frustrated at the high interest rates required of them. However, it is important to step back for a moment and remember how and why they got the loan in the first place.
Hard money loans are equity-based loans that are not dependent upon the borrower’s financial information at all. In fact, approval for a loan does not even take into account employment history, income, or ability to pay. The approval loan is based solely upon the appraised value of the property. Also, Arizona hard money loans tend to be shorter than average bank loans (about 6-36 months) and often loan up to 80% of the property value. Often, these numbers are determined within a matter of hours.
All of those things taken into account, Arizona hard money loans charge a bit higher interest rates because of the significant risk taken on behalf of the lender. These lenders go where banks refuse to go, and they lend to those individuals who would never be loaned to otherwise. They don’t look at a borrower’s ability to pay--they simply trust that that borrower will do what they say they will. That is the main reason Arizona hard money loans sometimes have high interest rates.
Another reason borrowers experience high interest rates is because they are not required to pay any application fees, recording process fees, documentation fees, or closing costs. All of those expenses add up quickly and when taken care of by the lender, need to be accounted for at least slightly by the borrower.

What is an LTV in terms of Arizona Hard Money Loans?

In essence, LTV stands for the Loan to Value ratio of an Arizona hard money loan. Most of the time, borrowers can receive up to 80% of the money pertaining to the property value. The LTV in a hard money loan can be as low as 65% at times, as well. The property being purchased with hard money is considered collateral so that there is enough equity in the property should the property go into foreclosure.

Arizona hard money loans may seem unattractive to some home buyers because of high interest rates and low LTV’s, but it is importnat to remember the benefits and realize that these types of loan are often approved when no other lender would do such a thing.

The Upsides of Arizona Hard Money Loans


The Upsides of Arizona Hard Money Loans

Many people view Arizona hard money loans as a “last resort,” and tend to avoid them because of the negative connotation associated with them. The have developed this reputation because most borrowers who utilize these services have bad or limited credit and cannot be approved by a bank or other money lender. That usually means that they also tend to have higher interest rates than traditional loans, thus making borrowers wary.
However, there are more upsides to Arizona hard money loans than there are downsides. For example, Arizona hard money lenders will go where traditional money lenders won’t. They will trust a borrower who has poor credit (or no credit at all), without asking for employment history or minimum income requirements. In fact, Arizona hard money loans are equity-based, so they are more dependent on the property value than they are on any of your information. Arizona hard money loans are an excellent option for short sales, purchasing foreclosed homes, and also fix-and-flip projects. They are a creative way for both the borrower and the lender to benefit.
Often times, lenders will lend up to 80% of the home value. In most cases though, this number is usually at least at 65%. The loans tend to be shorter than traditional bank loans, normally ranging anywhere from 6-36 months.

Getting Approved for an Arizona Hard Money Loans

Eligibility for Arizona hard money loans couldn’t be easier to obtain. Since the loan is not based on the borrower’s credit or other personal financial data, those items are never taken into account. Hard money loans are based solely on the appraised value of the property, or the LTV (Loan to Value) ratio.
Still, it is important to maintain a professional persona when seeking approval for an Arizona hard money loan. When consulting with a lender, be professional in dress and manner, have as much information on the property as possible, and a plan of action that you plan to use in repaying the loan. Be sure to make a document containing all expenses and plans for the hard money loan. It couldn’t hurt to include photographs of the home as well.

Sometimes, Arizona hard money loans are referred to as “bridge loans,” meaning that they are necessary for short-term financing needs. Because the risk taken on the lender’s part is significantly higher than traditional banks (because they are not looking at the borrower’s ability to pay), interest rates tend to be a bit higher.

Arizona Hard Money Lenders Will Approve YOU for a loan


Arizona Hard Money Lenders Will Approve YOU for a loan

Credit, income, job history, and assets are usually the only items typical banks and money lenders consider when making the decision about approving or denying a person for a loan. However, what often goes unrecognized is that a few small mishaps can destroy a person’s credit, that job history does not always reflect a person’s ability to pay, and that some people may not have much to show as far as assets go.
That is not the case with Arizona hard money lenders. These types of specialized lenders consider and understand the everyday difficulties American people face and they provide easy solutions to tough financial situations. They believe in your dream of owning the perfect home every bit as much as you do. That’s why they help you by providing fast, easy money when purchasing a home. Most of the time, Arizona hard money lenders focus mainly on short sales, fix-and-flip projects, and foreclosures.

Getting Approved by Arizona Hard Money Lenders

Being approved for a hard money loan is not as monumental of a task as it seems. However, it is important to act like a professional, take the situation seriously, and “sell yourself,” to the lender. It is good to provide your Arizona hard money lender with documents such as: a short description of yourself and your intended purchase, a copy of the purchase contract, appraisal estimate, details on inspection, cost of repairs (for fix and flip projects), an outline and breakdown of all costs involved in the purchase, Title Commitment, and photos of the home being purchased.
While maintaining good credit can never hurt a person, it is not necessarily critical to you getting a loan. Some people shy away from hard money loans because they have heard about the high interest rates. However, If you do have good credit, it can help you receive a lower interest rate on your hard money loan. Also, if you try to set your loan for a shorter period (perhaps 6-9 months), your interest rate will be significantly lower.
With hard money loans, you can get a loan regardless of your job history, credit, or current income. They don’t even check your tax returns or pay stubs! Your approval for a loan is mainly equity-based, but don’t underestimate the power of a first impression. If you get approved for a hard money loan, your project could be funded in as little as 24 hours.

Applying for a hard money loan is easy. Just call the company, receive an evaluation of the property, sign documentation, and walk away with your hard money loan. Isn’t it time you considered an Arizona hard money lender?

Arizona Hard Money Lenders are Eager to Help


Arizona Hard Money Lenders are Eager to Help.

Arizona hard money lenders get it. They know that when you find a short-sale or foreclosed home opportunity, you have to act quickly. Those chances don’t stick around for long. Or, when you are ready to tackle that fix-and-flip project, you don’t want to deal with a bunch of paperwork and waiting time...you are anxious to get to work. That’s why Arizona hard money lenders will work with you from day one. They provide fast, easy financial solutions to aid you in the purchase of your dream home or property.. In fact, with the help of Arizona hard money lenders, your project can be funded in only 24 hours. How many banks and mortgage companies do you know that move that quickly?
Often times, you can be approved for a hard money loans worth up to 80% of the purchase value of the project. This is done without credit checks, tax information, or an evaluation of your financial circumstances. There are no hoops to jump through with Arizona hard money lendersInterest for Arizona hard money loans is based mainly on the length of the loan (normally 6-36 months) and the value of the property.

Isn’t it time for your American dream? Let Arizona hard money lenders take care of the finances—you make the dream come true.

Make your Dreams become a reality with the help of Arizona Hard Money Lenders


Make your Dreams become a reality with the help of Arizona Hard Money Lenders

You’ve had the dream forever. Your family sitting around the dinner table talking about their day, your kids playing in the front yard throughout every season, your spouse cuddled up the fire with a hot cup of cocoa...all in the perfect house. The house you have dreamed of since you began your career. When you find that beautiful home you’ve been searching for, you can’t help but anticipate the memories to be made. The American dream is finally coming true for you. The last thing you want to do is reluctantly provide your bank with your credit information...that could be flat-out embarrassing. And even more so than that? You don’t want to wait for it all to come together.

You may not always realize how the purchase of a home will impact your finances. A difficult financial past could keep your from acting on the deal, and if you let them, banks will stand in your way. That’s why you need Arizona hard money lenders.