Showing posts with label private hard money. Show all posts

Sunday, November 25, 2018

The Real Deal: Arizona Private Money Lenders Connect with Clients in an Era of Red Tape

Understanding Arizona Private Money Lenders and their relationship with both lenders and investors
Arizona Private Money Lenders are individuals or investment groups that are not backed by an official financial organization. They are not banks and they usually do not advertise to the public. Instead, on a word-of-mouth basis, Arizona Private Money Lenders lend money to individuals with whom they have a direct or indirect relationship. While some individuals believe that there is inherent risk in receiving loans from a private lender because they are not backed by an institution, others seem to find comfort in a person-to-person relation with a lender with whom they can talk and reason with individually.
Arizona Private Money Lenders are investors of their own money and that of other investors. They pool a significant amount of money, find suitable investments and secure returns in the form of interest, equity, and property. Their goal is to eke out a growing profit stable enough to support them and their investors.
To do business, Arizona Private Money Lenders require a dead of trust and notes to secure loans. The deed to a property is held by a private money lender until the note or loan is payed off by the borrower. Should the borrower fail to pay of the remainder of the note and foreclosure is unavoidable, the deed of trust permits the lender to take back the property and liquidate it.
Advantages of Arizona Private Money Lenders
Arizona Private Money Lenders charge higher interest rates and lend for shorter terms than banks. While this may seem likely to drive away clients, Arizona Private Money Lenders have formed a niche market for those who have credit issues, foreclosures, bankruptcies, or sold and bought real estate. Situated outside of the federal regulations of financial institutions, Arizona Private Money Lenders have more flexibility and patience with lenders. Many times, Arizona Private Money Lenders are able to prolong foreclosure and work through temporary issues with clients to secure money, excising a healthy balance between grace and justice where banks would prefer to cut out the pound of flesh.
Arizona Private Money Lenders provide a personable and understanding relationship with their clients.
If you, like many, have a need for a private loan, research the Arizona Private Money Lenders in your local community. Or find mortgage brokers or individuals who have dealt with or have received loans from these types of lending sources. Locate the lending source that suits you.

Dennis Dahlber Broker Ri CEO Level 4 Funding LLC Dennis Dahlberg
Broker/RI/CEO/MLO
Level 4 Funding LLC
Hard Money Lender
Hard Money Loans
Hard Money Loan
Arizona Tel: (623) 582-4444
Texas Tel: (512) 516-1177
Dennis@level4funding.com
Dennis Dahlberg Broker/RI/CEO

About the Author: Dennis has been working in the real estate industry in some capacity for the last 40 years. He purchased his first property when he was just 18 years old. He quickly learned about the amazing investment opportunities provided by trust deed investing and hard money loans. His desire to help others make money in real estate investing led him to specialize in alternative funding for real estate investors who may have trouble getting a traditional bank loan. Dennis is passionate about alternative funding sources and sharing his knowledge with others to help make their dreams come true. Dennis has been married to his wonderful wife for 43 years. They have 2 beautiful daughters 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.

Thursday, November 8, 2018

WHY YOU SHOULD WORK WITH AN ARIZONA PRIVATE MONEY LENDER

What is a private money lender? How can I benefit from one?
The definition of a Arizona private money lender is a non-institutional lender that issues short-term loans for the purchase and renovation of an investment property. These loans are secured by the borrower’s assets. An Arizona private money lender can be anyone from a family member to a private lending institution.
Private money lenders are commonly known as Arizona hard money lenders. These are considered the best types of lenders due to their reliability, costs, fees and loan terms.
The interest on a private money loan is an interest-only monthly payment. What that means is that throughout the repayment period the borrower pays only the interest accrued on the loan as their monthly payment. Then, at the end of the loan it is paid in full. Even though the interest rate will be higher than a conventional bank loan, the monthly payment may easily be less. Because of this many house flippers take out loans from private money lenders. In fact, short-term Fix-and-Flippers that want to buy, renovate and sell within 6 months to a year are great candidates for private money loans. Buy-and-Hold Investors looking to purchase and renovate a rental property, prior to refinancing with a conventional loan, also benefit from these loans. However, private money loans will fund a variety of properties such as apartments, condos, commercial real estate, and single family homes.
How do Arizona private money lenders work?
Traditional bank loan approval is based largely off a borrower’s FICO score, revenue stream and employment. Private money lenders are less concerned with your FICO score and more interested in your hard assets. This gives the lender security knowing if the borrower defaults they will be repaid.
After-rehab-value (ARV) and loan-to-value (LTV) are terms borrowers should familiarize themselves with. ARV is what the property will be worth once the renovations are complete. LTV describes the size of the loan you take out compared to the value of the property that is securing the loan. Private lenders will usually loan out an amount that is equal to a percent of a property’s LTV or ARV. Most commonly they will lend 90% of a property’s LTV and 80% of a property’s ARV. That being said, it is pretty common for private lenders to give loans based on ARV for a property in poor condition and a loan based on LTV in fair to good condition.
What to look for in an Arizona private lender.
Interest rates and fees— Private money loan interest rates will vary. Typically, interest rates are somewhere around 8%-15%; lending fees around 1.5%-11%. Make sure you research and find the rates and fees that will work best in your situation.
Experience— Lenders are proud of the years they have been in business and the amount of loans they have approved. Often this type of information is found on their websites. The more deals they have done equals more experience. Having experience on your side will make this process run more smoothly.
3.   Specialization: Private lenders frequently have a specific area of real estate
     they specialize in; this can be residential or commercial. You want to work
     with a lender that has experience in the property type you are financing.
Do your homework; find a lender that will work for you. It can be a scary step. But, once you familiarize yourself with the process it can make your dreams come true!

Friday, January 13, 2017

Trumps Economy Is Going To Take Off! Get Ready Now!

Thing are going to happen..

Something is going on out there. Recently I've opened a new checking account at BofA for a small business venture, but I had one major problem to overcome. Something that I would have never expected. When I got to the bank they said "you will have to stand in line to open an account. " I asked my personal banker 'what's going on'? She said " did not understand what was happening, but since this morning there has been a steady stream of new customers coming into the bank and opening business checking accounts. I have never seen this much activity before".
Based on a recent Bloomberg report, Optimism among America’s small businesses soared in December by the most since 1980 as expectations about the economy’s prospects improved dramatically in the aftermath of the presidential election.
Being in business for 40 Plus years I hear this from my personal business associates. The consensus is that their feeling is '2017 is going to be a good year'. The share of business owners who say now is a good time to expand is three times the average of the current expansion, according to the NFIB’s data. More companies also said they plan to increase investment and keep hiring, which reflects optimism surrounding President-elect Donald Trump’s plans of spurring the economy through deregulation, tax reform and infrastructure spending.
Fifty percent of respondents, the biggest share since March 2002, said they expect better business conditions in the next six months. That was 38 percentage points higher than in November. The net share of firms projecting higher sales jumped by 20 points to 31 percent. Some 29 percent say they will boost capital outlays within six months.
The National Federation of Independent Business’s index jumped 7.4 points last month to 105.8, the highest since the end of 2004, from 98.4. While seven of the 10 components increased in December, 73 percent of the monthly advance was due to more upbeat views about the outlook for sales and the economy, the Washington-based group said. “

Rising confidence adds to the economy’s upward momentum,” Jim O’Sullivan, chief U.S. economist at High Frequency Economics in Valhalla, New York, said in a note. At the same time, the “NFIB membership appears to be disproportionately Republican, so it is possible that the data will start overstating strength, opposite the pattern during the Obama administration.”
The NFIB report was based on a survey of 619 small-business owners through Dec. 28. Small companies represent more than 99 percent of all U.S employers, according to the U.S. Small Business Administration. A small business is defined as an independent enterprise with no more than 500 employees.
“We haven’t seen numbers like this in a long time,” Juanita Duggan, president and chief executive of the NFIB, said in a statement. “Small business is ready for a breakout, and that can only mean very good things for the U.S. economy. Business owners are feeling better about taking risks and making investments.”
So now what do you do? What is your plan for the next 1-2 years? Should you invest in the stock market, hold cash, purchase real estate? Personally, I'm jumping back into the real estate rental market. But I'm being very cautious on what and where I purchase. I'm still licking my wounds from 2008.
Dodd-Frank will be changed. Only 3 new banks have been started since the 2008 crash. I remember when it would have been hundreds! Lending has been stagnant as local and regional banks are handcuffed to lend. What we have is constipation of the money pipeline due in large part to Dodd-Frank.

About Dennis has been working in the real estate industry in some capacity for the last 40 years. He purchased his first property when he was just 18 years old. He quickly learned about the amazing investment opportunities provided by trust deed investing and hard money loans. His desire to help others make money in real estate investing led him to specialize in alternative funding for real estate investors who may have trouble getting a traditional bank loan. Dennis is passionate about alternative funding sources and sharing his knowledge with others to help make their dreams come true.

Dennis has been married to his wonderful wife for 42 years. They have 2 beautiful daughters 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.

Free Report The 8 Things You Must Do To Be A Successful Home Flipper

Tuesday, December 22, 2015

3 Things to Consider to Ensure Your Hard Money Arizona Loan is a Smart Move

Jenna Jacques, licensed realtor and experienced home-flipper, allowed us to pick her brain on how to make smart moves in the industry. In this final installment of a four-part series, we present the information she gave us on how to be successful with hard money Arizona fix and flips, as well as how to choose the best partners.

As a highly-experienced real estate agent, Jenna Jacques’ Zillow reviews now boast that she has sold more than 40 homes in the past 12 months. While many of these are traditional home sales, a good portion of them are also her own rehab projects. She’s had the opportunity to work with numerous loan types over the years, so when it comes down to doing hard money Arizona fix and flips, she’s able to provide a helpful and unbiased opinion on what works.

1. Educate yourself on loan structures and payment expectations. The first bit of advice Ms. Jacques shared is that “Hard money loans are a great way to be able to fund your rehab, but make sure you know what you’re getting into.” The terms hard money Arizona lenders offer are different from traditional loans. Although they’re much easier to obtain, because approval is largely based on a property’s value, they’re geared more towards short-term borrowers.

2. Choose a reputable lender. “It is important to work with someone you trust and someone that has your best interest at mind,” Ms. Jacques explained. Packages offered by different lenders will vary greatly. The interest, number of origination points, length of the loan, and other details will change, so you have to work with someone who genuinely cares about helping you succeed, so you receive the best package possible.

3. Be familiar with the industry as a whole. When we asked Ms. Jacques how she got her start with fix and flips, she responded, “I did research, lots and lots of research.” Having a firm understanding of the industry and process as a whole plays an integral role in your overall success. Before you get into financing or buying a home to rehab, you have to know whether the home will pay off.

Successful Rehabbers Using Hard Money Arizona Loans Make Calculated Decisions

Probably the most continuous theme in the interview with Ms. Jacques is that she’s an advocate for education. Every time she flips a home, it’s systematic. She evaluates it on several levels, and only goes forward when the property meets all her criteria. Her behavior is typical among successful flippers. While newcomers to the trade may rely on gut feelings and hope for the best with an investment property, the seasoned flipper stacks the deck in her favor, by only choosing to work with properties that add up. She also plans every aspect of the rehab, so she knows exactly what will happen and on what kind of timeline.

By using hard money, Arizona fix and flips can be a successful and lucrative venture.

Ms. Jacques’ story is very inspiring, and shows how far self-empowerment can take a person. She’s actually a nurse by trade, though she always had an interest in home renovations and real estate. She took it upon herself to learn everything she could before she began- not just about hard money Arizona lenders provide, but about the industry as a whole. With that said, there might be something more to the secret of her success. “I love helping people find their dream homes,” she explained. While it’s clear she has found her calling, and that it has helped her on the path, she doesn’t dissuade others from following suit either. Instead, she advocates self-empowerment, and suggests that anyone getting into the business do as much research as possible before jumping in.

If you’d like to read more about Jenna Jacques or connect with her, visit her on Facebook or check out her personal website, JennaJacquesHomes.com.

Dennis Dahlberg Broker/RI/CEO/MLO

Level 4 Funding LLC
Arizona Tel: (623) 582-4444
Texas Tel: (512) 516-1177
dennis@level4funding.com
www.Level4Funding.com

111 Congress Ave |Austin | Texas | 78701

About the author: Dennis has been working in the real estate industry in some capacity for the last 40 years. He purchased his first property when he was just 18 years old. He quickly learned about the amazing investment opportunities provided by trust deed investing and hard money loans. His desire to help others make money in real estate investing led him to specialize in alternative funding for real estate investors who may have trouble getting a traditional bank loan. Dennis is passionate about alternative funding sources and sharing his knowledge with others to help make their dreams come true.

Dennis has been married to his wonderful wife for 38 years. They have 2 beautiful daughters 4 amazing grandchildren. Dennis has been an Arizona resident for the past 32 years.

Thursday, June 26, 2014

There are options for loans from a Private Money Lender in Arizona.

When is Arizona Private Money a good option for me?

There are times when Arizona Private Money is the best option for those seeking a loan. Usually it is when they need to turn to another source after a bank has deemed them to be too much of a risk. If you are unable to get a loan through the bank, finding a private money source may be the answer that you need! There are some things that you should know about Arizona Private Money before you decide, so that you can make an informed decision.

Arizona Private Money is a term in banking and finance that refers to lending money to a company or individual by a private individual or organization. While most usually think of a bank when deciding to borrow money, private money is offered by individuals or organizations. These certain individuals and organizations may have different qualifying guidelines then you would usually expect. There are higher risks associated with private lending for both the lender and borrowers.
For the most part, Arizona Private Money Lender may be close to the nation’s average interest rates, but in some cases you will find that it be extremely expensive. The higher interest rates usually occur when there is a larger anticipated risk. It is when there is a higher risk associated with the loan that the private money lender increases the interest rates. So in these circumstances your interest will be higher than the going interest rate. This is the risk that comes to both lender and borrower in a private money exchange.
Private money lenders can be found almost everywhere. Their object is to make an above average profit on the return of their money. There are some serious risks that come with that return, however. They may not be repaid, and often fear that they will not be paid on time. Many times they will quickly resort to legal action. In some cases of real estate, the lender will get a deed of the property in their name so that if they are not paid they can sell the house to cover the cost of the loan. They may also get insurance to prevent losses due to any catastrophe on the property. In these ways, Arizona Private Money lowers the risks that come with loans.
Arizona Private Money lenders are not able to work outside the banking laws, and are required to comply with state and federal usury laws. But they are able to avoid some of the red tape and regulation that banks must abide by such as banking exams. Private money lenders may also have a limit on how many loans they can give in a year within a single state before they have to get a banking license.
All who are interested in Arizona Private Money should take extra consideration. Many do not recommend private money loans for residential homeowners. Indeed, Arizona Private Money is usually only used for business capital. You should also have an accountant to advise you, as well as a real estate attorney to help guide and protect you. Often private investors do not have all the knowledge and understanding needed to work outside of a bank. Very often these agreements end up in court, so it is helpful to be well advised before it gets to that point.

How can I get an Arizona Private Money loan?

Many businesses and organizations will advertise that they offer Arizona Private Money loans. Be sure to check into their background and make sure that they are the kind of people or organization that you feel comfortable dealing with. Chances are you will be working with them for a long time. Many organizations are willing to take a risk on you with your loan; just be sure that you are willing to do the same. In the end, it is just as much your money as theirs.

How can I find a trustworthy Arizona Private Money lender?

What are some things that I should look for?

Ask them if they belong to any organizations, such as the Arizona Private Lender Association, or APLA. That way they are somewhat accountable and you have a place to appeal to if needed, before going to court. It would also be helpful to look through their credentials, and check with others that have borrowed from them. Most Arizona Private Money lenders are honest and helpful, it just helps to make sure you are dealing with one of those.

Arizona Private Money loans are extremely helpful for those who the banks have declared to be too much of a risk. By following these guidelines you will be sure to be as well protected as you can, and to get the money that you need.

Arizona Home Loan

Dennis Dahlberg
Broker/RI/CEO/MLO
Level 4 Funding LLC
Tel: (623) 582-4444 | Fax: (888) 279-6917
www.Level4Funding.com
NMLS 1057378 | AZMB 0923961 | MLO 1057378

Learn To Be A Fix & Flip Investor

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The Big Show is Coming to Town.

Sunday, November 25, 2018

The Real Deal: Arizona Private Money Lenders Connect with Clients in an Era of Red Tape

Understanding Arizona Private Money Lenders and their relationship with both lenders and investors

Advantages of Arizona Private Money Lenders

Arizona Private Money Lenders provide a personable and understanding relationship with their clients.

Thursday, November 8, 2018

WHY YOU SHOULD WORK WITH AN ARIZONA PRIVATE MONEY LENDER

What is a private money lender? How can I benefit from one?

How do Arizona private money lenders work?

What to look for in an Arizona private lender.

Friday, January 13, 2017

Trumps Economy Is Going To Take Off! Get Ready Now!

Thing are going to happen..

Tuesday, December 22, 2015

3 Things to Consider to Ensure Your Hard Money Arizona Loan is a Smart Move

3 Things to Consider to Ensure Your Hard Money Arizona Loan is a Smart Move

Successful Rehabbers Using Hard Money Arizona Loans Make Calculated Decisions

By using hard money, Arizona fix and flips can be a successful and lucrative venture.

Thursday, June 26, 2014

There are options for loans from a Private Money Lender in Arizona.

When is Arizona Private Money a good option for me?

How can I get an Arizona Private Money loan?

How can I find a trustworthy Arizona Private Money lender?

What are some things that I should look for?

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