Phoenix Home Values Continue to Skyrocket for 21 Straight Months.

Phoenix Home Values continue to move upward,  with limitations on existing inventory, available land, skilled workers and record low interest rates, home are in demand.  It's getting hard to find any home that you can purchase.  Home values are getting better and the next boom is continuing.   The official bottom for Phoenix Metro Area was way back in August 2011.

WITH LOW INVENTORY AND TOO MANY BUYERS, THE PHOENIX REAL ESTATE MARKET IS ON THE VERGE OF A NEW BOOM IN REAL ESTATE VALUES.

With low inventory and too many buyers the Phoenix Real Estate Market is on the verge of a new boom in real estate values.

'This boom is going to be different,' according to Dennis Dahlberg, Level 4 Funding   Hard Money Lender . 'The last boom was fueled on greed of the consumer; this time it's going to be a supply problem. Over the past 6 years there was little construction or movement of dirt, leaving the Phoenix housing market starving for new homes. Additionally, home values are raising dramatically, and once the current home owners get above water (have equity) they are going to want to move up. We're going to have a trifecta or the perfect storm-no homes, pent-up demand, and record low interest rates. And if you throw a little inflation on top of the mix -- watch out! Bam! its going to be a wild ride -- a wild west ride!'

Based on the data provided by S&P Case Shuller, the bottom is over (See Graph Below) and we are moving up again and this time it's going to be even bigger!  

It appears from the graph of the Phoenix House Values below, that the real estate market in the Phoenix area is heading up. Is it time to buy real estate again? How long will it take to come back to normal? Should I get out of the market and wait? These are hard questions to answer but Dennis makes these recommendations:

 Home values will not return to the trend line for another 1-2 years. Latest trend shows Phoenix back to the highs starting July 2014!

 The upturn in values are due to LACK OF INVENTORY AND RECORD LOW INTEREST RATES.

 Keep your home if possible. Do whatever it takes to keep the current home.

 Do a loan modification? HAPR 2. Its possible but there are very few who are successful.

 If you 'bail out' and let the bank foreclose, you will not be able to purchase a home for 5-7 years, maybe even never again!

 Inflation will it come back and will the value of the dollar drop dramatically? (This could change if the USA will cut spending and raise taxes,
cut medical/social security, and increase the tax rate by 45%. I don't think this will happen.)

 The amount of debt in the USA will continue to grow. The amount is very frightening.

 At this rate, in 5-7 years, it will cost $10 to buy a loaf of bread. Gasoline will cost $25/gallon. And the average starter home price
will be $600,000.

 Get out of debt; get rid of the credit cards and pay them off. Purchase only if you have the cash. Do not get into any debt.
(I sound like your mother here, but she was correct.)

 Start a side business. It's too difficult to explain why here, but the best reason is the potential tax advantage and the possible income.
Your own side business is the LAST area the government has yet to attack. Make it simple and get going. An extra $400 per month
really helps.

 If you are able, purchase quality single family homes in a good area and turn them into rental units. (Your side business?)

I've talked to a lot of people who feel that they can 'let their home go and rent for awhile'. Rental rates are lower than their mortgage rates. Yes, they are! 'We can save a lot of money by renting vs. paying the mortgage, and in 2 years we can purchase again and have a good down payment.' Well, it's actually going to be 5-7 years before your credit report looks good enough to purchase a home again. And can you really save the money? Most people will spend the money on toys. If hyper-inflation hits, like some economists predict, then you'll be priced out of the market. Do you want to take the chance? Keep your home, do a HARP 2 loan modification, and hang on -- the next 5-7 years are going to be enjoyable.

Dennis Dahlberg is General Manager of Level 4 Funding, with many years of experience in lending, flipping and fixing.  UPDATED 07/31/2013

For Phoenix the bottom is officially August 2011

Big Daddy Dennis Hard Money Lender

Arizona Hard Money

Level 4 Funding LLC

23335 N 18th Drive Suite 120

Phoenix AZ 85027

623-582-4444

How Should I Feel About Arizona Hard Money Loans?

Arizona Hard Money

Looking to rebuild your home to make it exactly what you want? Or maybe to flip a home and sell it for a profit? Have you already looked into traditional bank loans and have been told to look elsewhere? It might be time to consider new options like an Arizona Hard Money loan.

Why an Arizona hard money loan? Easy- you don’t have to worry about your credit score. Nope. Not one bit.

How is that possible? Let us tell you: hard money lenders base your Arizona hard money loan entirely on the value of the property you have, not based off of the credit you may or may not have. Big sigh of relief, right? That also means that a hard money lender Arizona loan is just about the most simple loan you can get. A hard money lender Arizona loan is also the fastest loan you can get, hands down.

There is one thing to keep in mind, however, and that is that Arizona hard money loans are more expensive than your traditional loan, however, they area also faster you’re your traditional bank loan. So just about as quickly as you are able to qualify and you’re your paperwork done, you will have cash in hand, and that says a lot. It means you can start working on your dream right away. In far less time than it would take for a traditional loan, you will have money from a hard money lender Arizona.

It’s important to also realize that on average, most hard money lenders Arizona are going to be asking for twenty percent of the purchase price of the property. While, as we said, this is really the average, more than likely, you will get 50 to 60 percent of the true property value and you can do so much with that. Good luck.

Big Daddy Dennis Arizona Hard Money Lender

Arizona Hard Money
Level 4 Funding LLC
23335 N 18th Drive Suite 120
Phoenix AZ 85027
623-582-4444

Understanding Your Hard Money Arizona Loan

Arizona Hard Money

Flipping a house is a lot of people’s dream. You may want to flip your house so that your family can live the way you always wanted to or because you hope to see it to a private investor. Whatever the reason is, the chances are you’re afraid to because the economy is so difficult.

Everyone complains about how in this economy, the credit scores are now completely topsy-turvy. This makes it very difficult to quality for a traditional bank loan- you know, the ones everyone used to qualify for back in the day. It’s not as easy now, which is why we think you should know about private money lenders Arizona. We really believe that hard money lenders is the correct way to go.

Why is it better? It’s better because hard money lenders base your Arizona hard money loan entirely on the value of the property you have, not based off of the credit you may or may not have.

Understand that now that means a hard money lender Arizona loan is absolutely the easiest kind of loan to get- and the fastest- for rehabbing your home or property.

Keep in mind however that they are more expensive than your traditional loan. That being said, the flip side of that is that just as soon as you qualify, you can begin paperwork and in far less time than it would take for a traditional loan, you will have your money from a hard money lender Arizona. It is just that simple, there’s no need to stress.

Arizona hard money loans additionally are also wonderful for when you are flipping your property. Why? Simple math; when you’re in the property you’ve borrowed against for less time, the added interest rate of 10 to eighteen percent tends not to damage your profit margin all that much. Everyone can let out a big yahoo!  

Big Daddy Dennis Arizona Hard Money Lender

Arizona Hard Money
Level 4 Funding LLC
23335 N 18th Drive Suite 120
Phoenix AZ 85027
623-582-4444

Arizona Hard Money Is the Way to Get Your Dream Home Fast

Arizona Hard Money

Unfortunately, times have changed. Back in the day, it was so easy to get the loan or financing you needed to get started on your resident rehab project, but it just simply isn’t that easy anymore.

What are your options now if you want to flip a house or purchase a fixer-upper that you can turn into your dream home? Well, options are now limited, especially if your credit isn’t great. So it’s time to start really thinking about what you want for you and your family.

Investors with cash don’t have a problem, but what about if you are an average Joe with a big dream? Lots of ambition, but not much money? Then you should really start thinking about private money lenders Arizona.

With banks beginning new regulations recently, it’s making it harder to really get the cash you need. The banks that used to give us the money we needed aren’t even looking at us anymore; they don’t want to take that chance and really who can blame them? But what about people who want to redo their homes even if their credit scores aren’t what they should be? Usually, even if you want a loan elsewhere to redo your residential space, banks don’t want to tell you where to go, so let us tell you about private money lenders Arizona instead.

That’s where hard money lender Arizona comes in to save the day. With Arizona hard money lenders will help you, you can start and finish your dream home even in this economy with whatever credit you just happen to have. We know that in this market, a lot of people are struggling. We want to give you the chance to make something more out of yourself with a Hard Money Lender Arizona loan that can help you do what you want to do. Additionally, we are cutting out the difficult paper work and the long wait for your money. Arizona hard money lets you begin creating your beautiful home almost immediately. Don’t hesitate to look into Arizona hard money. 

Big Daddy Dennis Arizona Hard Money Lender

Arizona Hard Money
Level 4 Funding LLC
23335 N 18th Drive Suite 120
Phoenix AZ 85027
623-582-4444

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General Solicitations Ban for 506 Private Placement has been Removed! Thanks Obama, maybe.

Executive Summary

General Solicitation Ban Removed.

The JOBS Act has mandated that The SEC add a new section to permit general solicitation. However, this is only permitted if:

            a) all purchasers are accredited investors, and

            (b) the issuer takes reasonable steps to verify accredited investors.

Furthermore, the SEC has adopted rules that disqualify “Bad Actors” from taking advantage of the Rule 506 private placement safe harbor.

Verifying Accredited Investor Status: Reasonable Steps

The SEC has identified four possibilities for investors to be reasonably verified that are summarized as follows:

1)     Two years of tax records.

2)     A third party identification of the value of the investor’s assets and liabilities.

3)     A written confirmation from a registered broker-dealer that confirms the person is an accredited investor.

4)     A previous qualified investor that can guarantee that the person continues to qualify as an accredited investor.

Written records of these steps should be consistently maintained for each investor.

Another consideration to be taken is an extremely high minimum investment amounts (which only accredited investors would likely be expected to make).

There are no more easy forms. A simple “check a box questionnaire” or “sign a quick form” without other information about the accreditor is just not sufficient.

Disqualification of Felons and Other “Bad Actors” from Rule 506 Offerings

Another group of people who are not allowed to work in the industry, “Bad Actors,” has also been recognized by the SEC. Simply put, the term “Bad Actor” applies to people who fit into the following category(s):

ü  A misdemeanor, felony, or criminal conviction in a specific area

ü  Restraining orders or court injunctions

ü  Final orders issued

ü  Specific SEC disciplinary orders

ü  SEC cease and desist order

ü  Suspension or expulsion from membership

ü  Stop orders applicable to a registration statement

ü  U.S. Postal Service false representation

The aforementioned guidelines apply to nearly every person involved in the offering, including 3^rd party promoters or solicitors. Though the task may not be an easy one, the responsibility of identifying Bad Actors  is on the Insurer and they simply must take all precautions and measures to make sure all Bad Actors are verified from the beginning.

Other Items Discussed:

On a temporary (two-year) basis, all written solicitation materials must be turned in to the SEC before they are used. Furthermore, copies of transcripts of all solicitation materials along with a log of when and how materials were disseminated should be maintained by issuers.

You are required to put in your legends (i.e. your footer) in any written communication that this constitutes a general solicitation in any Rule 506(c) offering.

If you fail to comply with and are subject to any order, judgment, or court decree you can be banned from future offerings forever.

Making Sense of All of This: My Opinion

In the past, you as an issuer were strictly limited and prohibited from discussing an offering with the public. Basically, you had to be approached by the individual and had to have a prior working relationship with that individual before you could even discuss an offering. You could be present in a conference or room but you had to keep quiet unless you were spoken to first.

For companies that were looking to raise capital through a private placement, the prior ban nearly eliminated their chances of raising capital. The ban killed and stopped most private placements under Reg. D, 506. 

Fortunately, the administration came to the conclusion that the ban was indeed a Job Killer, and as part of Obama's JOBS Act, they have taken steps to ease-up on the regulations. However, the lifting of the ban still has big hurdles to overcome in order to qualify potential investors. Before all of this, it was simple to just ask questions to investors through a questionnaire with check boxes to determine if they were qualified or not.

Now, however, the issuer is going to have to take reasonable steps to verify that an investor is indeed qualified. Frankly, I'm not certain that an investor will feel conformable with providing two years of tax returns or allowing me to check their credit in order to see if they are qualified. 

It is unclear at this point if the new 506(c) will make it easier for General Solicitations. However, I am going to try and move forward and develop the new procedures and see if we can overcome these obstacles.

When you read the new regulations and take a step back to ponder the reasoning, it appears that the Obama Administration actually realizes that the ban was a Job Killer. Yet, their response to lifting the ban may not be a quick fix to the problem. It's as if they are saying, "Ok, you can go and solicit to the public, but you greedy fundraisers need to be punished and we need more oversight on what you are doing and we need to see your marketing materials before you use them.” It seems that the administration does have a grasp on the problem but they do not have a grasp on the solution.  

Arizona Hard Money
Level 4 Funding LLC
23335 N 18th Drive Suite 120
Phoenix AZ 85027
623-582-4444

Flipping a House with an Arizona Hard Money Loan

Hard money lender Arizona

If you have ever wanted to build your dream home, now is the time. However, not everybody’s credit is so great. If you thought that your only option in order to renovate houses was a bank loan and you thought that your credit score would deem it impossible, you’re wrong. You have other options. So what do you do? Where can you turn?

That’s where hard money lenders Arizona comes in.

You can stop worrying about your FICO score; hard money lenders don’t look at your credit. They don’t care what your score is. They base your Arizona hard money loan entirely on the value of the property you have and the character of the person they deal with. That would mean that that a hard money lender Arizona loan is the easiest kind of loan to get for a trustworthy person- and additionally, as you will find out, a hard money lender Arizona loan is also the fastest loan you can get.

Keep in mind, however, that Arizona hard money loans are more expensive than your traditional loan. Meanwhile, as soon as you quickly qualify for your Arizona hard money loan, you are basically halfway to starting on your dream home. You can begin paperwork and in far less time than it would take for a traditional loan, you will have money from a hard money lender Arizona.

Arizona Hard money loans are great when you are flipping a property to create a home property that you love. Arizona hard money loans made by private money investors Arizona is the best way to finance your new renovation project. Hard money lenders loans make it possible to snag that house that you’ve had your eye on for quite a while even if you’ve been worried about the your credit score.

Big Daddy Dennis Arizona Hard Money Lender

Arizona Hard Money
Level 4 Funding LLC
23335 N 18th Drive Suite 120
Phoenix AZ 85027
623-582-4444

Some Arizona Hard Money Loan Information

Hard money lender Arizona

If you are worried about your credit, but you still want to flip houses, take heart, there is a way to do that. Arizona hard money loans made by private money lenders Arizona happen to be among the best ways for financing your new renovation projects when you don’t have the credit. Hard money lenders loans make it possible to purchase great opportunities that you’ve had your eye on for quite a while even if you’ve been worried about the current state of your credit score. You don’t have to worry anymore.

So what are some things you should know?

1. As we stated before, private money lenders Arizona are not really worried about your credit score. More than anything they are worried about your character. All they want is for the loan to be repaid. They don’t want to know about your FICO score.
2. Be realistic: Before you sign for your hard money loan, be realistic about how long you think your project will take. One example of this might be, don’t take a three-month loan term if you believe it will take you four months to do the home renovation. Relax and give yourself enough time to pay off this loan! And don’t be afraid to ask for an extension on your Arizona hard money loan if you need it.
3. Hard money lenders Arizona loans aren’t as expensive as you think, especially if your turn around time on your home investment is super fast.  So while these Arizona hard money loans can cost more than a traditional bank loan, the rates that private money lenders Arizona give are actually really great.

Arizona hard money loans made by private money investors Arizona happen to be among the best ways for financing your new renovation project. Hard money lenders loans make it possible to really take advantage of that house that you’ve had your eye on for quite a while even if you’ve been worried about the current state of your credit score.

Big Daddy Dennis Arizona Hard Money Lender

Arizona Hard Money
Level 4 Funding LLC
23335 N 18th Drive Suite 120
Phoenix AZ 85027
623-582-4444