Dennis Dahlberg - It Can't Get Better Than This!: January 2019

Thursday, January 31, 2019

Start a Profitable Business: Get Hard Money Loans to Flip Houses in Arizona

Loans to Flip Houses in Arizona are available to those wanting try their hand in the flipping industry.

The average profit on smaller flip homes in the States can range from $20,000 to $30,000. Three to four months is the average time it takes an experienced flipper to flip a home. With three to four completed flips per year, a flipper could possibly earn a profit of $60,000 to $120,000 per annum. The possibility of obtaining these types of returns, add in an increase in TV shows glamorizing real estate investment, has driven many individuals to try their hand in the flipping business. Great right? The ability to start a business that can generate six figures without pricy investments in an academic or trade education.

So, after looking at the earning potential of flipping houses and deciding that is the best real estate investment route, acquiring property to flip houses and financing to run a business are the next major steps that individuals come up against. What type of home should these investors flip? Well, usually, in the flipping industry, foreclosed, distressed, and short-sold homes are desirable. Property that will be sold at an enticing, wholesale rate. Sometimes, the right piece of property is no easy find, it is not a low hanging fruit to be snatched from above. Effort, research, and beating the bushes to find the right wholesale piece. Balancing the wholesale price, the foreseeable refurbishment cost, and the after-repair value ARV are important steps in evaluating if the investment is worth undertaking and, more importantly, if the investment is capable of generating sizeable return. After completing these analyses and others, financing becomes the next question to answer.

Due to the fact that most conventional lenders will not lend for the acquisition of distressed property, hard money Loans to Flip Houses in Arizona is crucial element to understand when flipping homes. Once a property is selected and the numbers are drawn out, a hard money lender is usually consulted in order to present financing options.

Make More Money with Loans to Flip Houses in Arizona

Though most investors making their way into the flipping business may not have a sizeable portion of cash to put down, some sort of property equity or initial cash down is needed to secure hard money Loans to Flip Houses in Arizona, this leverageable collateral or equity may be in the form of real estate already owned by the potential borrower.

Talk to a hard money broker at Setabay to get Loans to Flip Houses in Arizona today!

With the collateral and the equity decisions under control and agreed upon, a hard money lender or broker will calculate rate, conditions, terms, and lending fees if applicable. He or she will be able to tailor a lending situation that is favorable, short, and able to secure a favorable investment situation for both lender and borrower. If receiving Loans to Flip Houses in Arizona is right for you talk to a hard money broker at Setabay today and make your way into the lucrative industry of flipping homes.

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 and 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.

Wednesday, January 30, 2019

How to Get Residential Arizona Hard Money Loans

What are residential Arizona Hard Money Loans? How through your hard money broker at Setabay, you can get the necessary help and the financing you need.

Residential loans are home loans that are not intended to be used for commercial returns. Instead they are intended to allow a borrower to purchase a property in order to use it for personal housing. Loans can be received to finance a variety of different property types in a variety of different locations.

In the spectrum of hard money lending, Residential Arizona Hard Money Loans are not offered by most Arizona Hard Money Lenders. This is due to the restrictions of the Dodd-Frank, which after the Great Recession changed many of the residential housing regulations especially regarding subprime lending. Because of the Dodd-Frank Act, there are more regulations private money lending for residential purposes. Most Arizona Hard Money Lenders do not want to deal with the bureaucracy and the difficult processes associated with Residential Arizona Hard Money Loans or do not specialize in this area of loans. Those lenders who do deal with Residential Arizona Hard Money Loans tend to focus on a subniche: residential rehab, family residential, multi-family residential, etc..

Residential hard money is able to help individuals purchase: apartments, condos, mobile home trailer parks, multi-family units, raw land, single-family properties, and vacant land. Financing for these types of loans requires cash down in order to fulfill the loan to value stipulations of Arizona Hard Money Lenders. An acceptation to LTV cash down restrictions would depend on personal assets with a strong, positive equity position which would create enough security for the hard money lender.

Talk to Your Residential Arizona Hard Money Loans Broker at Setabay Today. Get started and Find the Funding You Need

Determine the type of residential property that you need a loan on. Evaluate what assets or cash down you have to leverage in order to begin the application process to receive a hard money loan. Then speak with your hard money broker to find the right lender and rate to finance the property you are interested in.

Avoid pitfalls! Setabay is here to help you receive your hard money residential loans. Talk to a broker today!

Your hard money broker will guide you through the process and help you to understand whether you qualify for a hard money residential loan and if so what type of hard money residential loan would work best for you.

Who Finances Arizona Spec Loans Investors?

Arizona Spec loan investors use hard money to take advantage of real estate opportunities.

In real estate investing there are two common types of investments: investments in spec and in custom homes. To start, instead of meeting the general preferences of a larger community, custom homes are constructed with a specific client in mind. This client will have a drawn out and specific plan for the construction of the house. Floor plans will represent what an individual client finds appropriate, economical, and appealing. All of the supplies for building, the colors, and the arrangements will be considered and constructed based upon agreements between the both the purchaser and the contractor.

On the other hand, spec homes or speculative homes, are homes made to suit the general needs of the housing market. These homes will be constructed by Arizona Spec Home Investors who do not have a specific client in mind, but rather are looking to create a home consistent with other designs that are selling well in a given area. To do this, Arizona Spec Home Investors will have researched a favorable floorplan and will have measured out the general costs of the materials needed to build a decent looking home. Suiting the markets general needs permits the builders to receive a quicker turn on investment than dealing with the idiosyncrasies of trying to reach an individual.

By building a general fit for market needs in a profitable and attractive area, Arizona Spec Home Investors are able to get a quick return on investment. Many Arizona Spec Home Investors find that they have buyers before completing construction. Another reason for the popularity of spec homes and the ease of selling is that buyers generally know what they are getting into since they are able to look at other spec homes previously built.

Hard Money for Arizona Spec Home Investors

Arizona Spec Home Investors who have been in business for a long period of time are sometimes able to acquire conventional lending. This is often due to a favorable credit history, a strong credit score, a leverageable asset, or a great record of completing ventures and paying off debt. The advantage of obtaining conventional lending is that it offers some of the lowest available rates. These rates diminish the total amount of interest to paid off in the long run. On the down side, is the red tape and the length of the paperwork. Conventional lending offers great rates, but potential debtors are subject to rigorous credit evaluation and stipulation requirements, these taking at times months to complete.

For Arizona Spec Home Investors, finding the right source of financing is a crucial step to reaching potential returns.

If potential Arizona Spec Home Investors, are unable to meet these stipulations, that is to say they do not have stellar credit scores, businesses with a favorable lending history, or properties to leverage, hard money lending may be the best option. Since hard money lending bases collateral off of property, Arizona Spec Home Investors interested in these types of loans will require property to leverage instead of creditworthiness. Whether the collateral is property that is already owned, or it is created by putting cash down the future investment, it does not matter. For more information on spec loans talk to a broker at Setabay.

Tuesday, January 29, 2019

Yurts Make Money: Airbnb Loans for Glamping

Get an Airbnb loan in Arizona to reap the benefits of the glamping industry.

Outdoor, short-term rentals are on the rise according to a recent article in the New York Times: “Now known as glamping—short for glamorous camping—the hybrid of camp and resort has exploded, bringing a wave of new glamping destinations this year in a variety of price ranges.”

In an age of office jobs and commutes, individuals are eager to set aside the grind of the city and enjoy the bliss of nature. The glamping market offers an escape with many of the luxuries of home: heated shower, king-size bed, running water, in-door pluming, and cozy stove, even accessible Wi-Fi included.

Much of the rise in glamping is due to millennials. Recent studies quoted by Fast Company state “that 72% of millennials (currently the U.S.’s largest generation) would prefer to spend money on experiences than on material objects.” This means that there is a growing market for those who value experiencing a unique moment instead of a monotonous stay at a hotel, and glamping satisfies the civilized needs of a client while bolstering an iconic, photo-worthy moment.

So, what are the costs? By searching Airbnb, yurts and elaborate canvas tents can charge up to $500 per night in touristic destinations. A glamping kit for building a yurt costs $2,000 to $5,000. Larger, elaborate, and completed yurts go from $10,000 to $20,000 dollars and can be as large as 30’ in diameter! Add to the this a set of furniture, a septic tank and toilet, an accessible energy source, a propane shower, and a kitchenette. These comforts allow for the possibility of a summer retreat or a cozy winter getaway.

Airbnb Loans for Glamping Investments

Hard money Airbnb loans are a consideration for getting a glamping business up and running. First off, property, generally at least half an acre, is needed in a wilderness environment that entices tourists: a mountainside, lakeshore, or Zion-esque desert. Research Airbnb and other real estate sources to find a location that is suitable to glamping and that can sustain an occupancy rate that will make for decent returns.

Use Airbnb loans to invest in glamping property and equipment.

Get your business up and running in no time at all.

If property is already available, then using Airbnb loans in Arizona for investing in glamping equipment may be a factor. How many glamping units are needed per each portion of land? What is the cost of the needed glamping accessories and property development? Should receiving Airbnb loans in Arizona for glamping interest you, talk to your talk to your hard money broker for more information at Setabay.

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.

Conventional Versus Hard Money Rental Property Loans in Arizona

Which of these rental property loans do you qualify for?

You are getting into the rental property business. Maybe you have done the research and have looked at various neighborhoods in a particular city, area, or neighborhood that are able to give a good return on long term housing rentals. Great. You have the idea, the research, and the iron will to push forward, but you are left with a crucial question: where is the money to do this? The answer for many investing into the renting business is found in locating a comfortable financing situation.

First, what type of loan are you looking into, hard money or conventional? If conventional, do you have a strong credit score, a record of financing and renting out homes, a comfortable amount of cash down (20%-30%), and a favorable debt-to-income (DTI) ratio? Also, is the real estate you are looking to buy in good shape—not distressed or in need of a solid renovations?

If not, Hard Money Rental Property Loans in Arizona are your next option. Hard Money Rental Property Loans in Arizona have less stipulations than conventional lenders. To receive such a loan as this, a borrower must have enough cash down, 20% to 60%, to create a favorable loan-to-value situation for his or her lender. Otherwise, he or she will need to leverage current real estate assets owned to mitigate the lender’s risk. By leveraging property, especially with excellent positive equity or with no debt owed, up to 100% LTV is possible.

Benefits of Hard Money Rental Property Loans in Arizona

On top of this, previous credit issues such as bankruptcy, foreclosure, and delinquency can be overlooked in favor of an optimistic equity situation. Don’t worry about the past, it is time to live in the glory of the entrepreneurial present.

Talk to your hard money broker today at Setabay to get the rental property loans you need.

Another benefit of using Hard Money Rental Property Loans in Arizona, is that you are able to buy distressed property. This is a benefit if you are interested in renovating to rent a house since purchasing a house is cheaper than purchasing other refurbished units in an area. Though this may take honing a few more skills and becoming one with your inner weekend warrior, many are able to get more returns by paying less in these instances. If hard money lending seems right for you, talk a hard money broker at Setabay.

Monday, January 28, 2019

Arizona Fix and Flip Loans: Hard Money v. Conventional Loans

Looking for money? Are you eligible to receive a conventional Arizona fix and flip loan?

Though difficult to acquire for many flippers, mortgage loans present opportunity for borrowers possessing the following:

· High credit scores: Creditworthiness is a big indicator for conventional banks. They will want to see a borrower’s track record in regard to Arizona fix and flip loans. Has the borrower payed bills well in the past? Has the borrower had any delinquencies such as missed payments? Have there been any foreclosures or repossessions? Essentially, to the banks, credit history indicates the risk of loaning.

· Favorable debt-to-income ratios: This is the total debt figure divided by income. Banks use this ratio to calculate if a potential borrower is able to make payments, especially after adding any requested loans. Max debt-to-income ratio for conventional banks tends to hover between 40%-50%.

· Considerable or significant assets: Collateral is another crucial factor for receiving a conventional loan. What types of assets, general property or equity in property, does the borrower possess? Is the proposed collateral enough to buffer the lender in the unforeseen event of foreclosure?

· Completed jobs: Conventional lenders look for a history of profit, repayment, and success as good omens. What is the borrower’s track record? Has the borrower been able to repay previous flipping debts?

If the borrower has a favorable history in many of these areas, he or she is more likely to receive funding for Arizona fix and flip loans. The upside to receiving a traditional home loan is, for one, a very low interest rate, some of the lowest. On top of this, the loan-to-value (LTV) can reach up to 80%. On the downside, conventional Arizona fix and flip loans may not be a great choice for individuals who are new to the fix and flip market and thus have a limited amount of completed flips.

Do to the drawn-out nature of submitting and reviewing credit applications, typically taking months to complete, conventional lending presents complications for those looking to bid on wholesale, foreclosed, or short-sell property, which may need a quicker source of financing to acquire. Finally, the challenge of acquiring distressed or hazardous property—conventional lenders are typically interested in property that can be lived in. If there is neglect, structural issues, or other issues that prevent this, the bank is likely to withhold funding.

Rotten Credit? Hard Money Arizona fix and flip loans May Be an Alternative

Though many potential borrowers do not fit the rigorous credit archetype delineated by conventional lenders, there are still other options. Arizona Hard Money Lenders have formed a safe haven for entrepreneurs possessing a rocky credit history, limited experience, or limited assets. They have also provided opportune funding for those looking to purchase property quickly.

Bad credit, limited experience, or few assets?

Hard money Arizona fix and flip loans may be right for you.

Need help flipping a home? To receive more information regarding hard money lending, talk to a hard money broker today at Setabay.

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.