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

Tuesday, January 15, 2019

Arizona Private Money Lenders Are There When You Need Them

Are you eager to buy an investment property, but your credit is less than perfect? Have you been turned down by traditional lenders?

Arizona Private Money Lenders, sometimes called hard money lenders, are non-institutional lenders that issue short-term loans. Typically, these loans are for the purchase of an investment property; however, they may also be used for fix-and-flips, rehab projects and quick funding.

Arizona Private Money Lenders are less bothered with a borrower’s credit and more concerned with their hard assets: which is real estate, cash or land. A hard asset will show up on financial statements. This is opposite of a soft asset which can include: equipment, furniture, software and any other assets with a low intrinsic open market resale value. Usually, a lender wants to see a FICO score of at least 550; however, that is not always the case. The type of private money lender you choose will determine the credit score you need.

DIFFERENT TYPES OF MONEY LENDERS, LOAN QUALIFICATIONS, LOAN TERMS AND APPROVAL TIME

There are three main types of Arizona Private Money Lenders:

1) Primary circle: These are your family and close friends.

2) Secondary circle: This consists of personal friends, colleagues and professional acquaintances.

3) Third-party circle: This includes accredited investors and hard money lenders.

Borrowing money from your primary and secondary circle may be easier to obtain, but in the long run can get uncomfortable and relationships can become strained. Hard money lenders belong to your third-party circle, which is the most distant in terms of relationships. They have proven to be the best private lenders due to their reliability, professionalism, across the board interest rates, fees and loan terms. You will know exactly what you are getting into before accepting the loan. The terms don’t change.

Private money loans have much shorter loan terms than traditional loans. They have terms anywhere from a month to 5 years. Hard money lender terms are typically between 1 and 3 years; with most loan terms closer to one year. Pre-qualification can occur in as little as 10 minutes and funding typically is dispersed within two weeks.

When meeting with a hard money lender you will need to bring the last three months of your bank statements, a credit score of 550, the property location and the purchase price. If you are seeking a hard money rehab loan, lenders will also require contract bids, a renovation scope of work and a portfolio of your experience that includes prior projects.

Is a private money lender right for you?

Are you looking to purchase, renovate and sell your property within a year or less? Do you need quick financing to compete with cash only buyers? Are you looking to purchase and renovate a property before you refinance with a conventional mortgage? Or, have you been turned down for a traditional loan? If any of these scenarios describe you, a private money lender be may your answer!

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.

Do You Wish You Could Buy An Investment Property But Your Bank Turned You Down?

You have searched high and low for that perfect Arizona investment property and finally you’ve found it! You get to your bank only to find out the property’s condition is not up to par with your bank’s mortgage conditions and your credit is less than attractive—no loan for you. But, there is a solution—a hard money loan.

Just like all loans, a hard money loan is money borrowed by a lender. The borrower receives the money and, in turn, the lender receives monthly interest on the loan until final payment has been issued. Where traditional loans are based off the borrower’s credit, hard money loans are based off the asset being purchased. If the borrower defaults on the loan, the hard money lender will foreclose on the property.

BENEFITS OF A HARD MONEY LOAN

There are a plethora of reasons to obtain a hard money loan; however, the quick approval and release of funds along with the relationships investors can make seem to be the most popular.

There are fewer hoops to jump through when you are working with a hard money lender. You will work with an individual lender versus a group of lenders at a bank. There is less paperwork and a shorter waiting period because the lender is more concerned with the Arizona investment property, not in your debt and credit scores. The property you are purchasing will be backing the loan. Working with a hard money lender you could easily have your funds available in as little as two days; unlike a traditional mortgage which could take months.

You can build a relationship with your investor. If you show that you are reliable; you pay your debt back on time or early, your investor will want to work with you again. Once your lender trusts you they may be willing to do things such as reduce the origination fee, get your funds to you faster or loan you greater amounts. Building trust with your lender will form a priceless business relationship.

You can get a hard money loan for virtually any type of property: from single family residential to commercial and industrial properties. Typically, borrowers use hard money lenders for fix and flips or to rehab a property. Some hard money lenders will not fund an owner-occupied residential property because of the extra regulations. However, there are plenty that will.

Is a hard money loan the right move for you?

Hard money loans are most ideal for:

* Fix and flips

* Construction loans

* Rehab properties

* A borrower who doesn’t have enough cash or access to private financing

* A borrower with bad credit

* Quick financing for an investor who is competing with a cash only investor

Hard money loans aren’t for every investor in every situation, but of you are just starting out they are an excellent choice. These loans allow you to purchase real estate with little, or none, of your own money.

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.

How To Qualify for a Business Loan Regardless of Your Credit

You’re tired of working for “the man.” You want to be your own boss. That comes with start up money. You’re going to need a business loan.

The hardest part of starting your own business is finding the financing. It can be problematic, but it is not impossible. There are numerous sources when looking for a business loan. The more prepared you are, the better chance you will find your funding.

HOW TO GET AN ARIZONA BUSINESS LOAN

Creating and building a business requires two things: a great idea and money. Business lenders can have incredibly strict standards. So, the more you know about what these lenders will require the easier it will be to get approved.

1. Get a business plan: There are few lenders that will fund you without a business plan. A business plan will include a written description of the future of your business. It is a detailed story of what you plan to do and step by step instructions on how you plan on doing it. This will include: your strategy, your products and services, your marketing plan, your background and your personnel’s background, and your financing needs.

2. Decide which type of loan is best for you: It can be difficult to get a business loan if you are just starting out. Often small business lenders want you to be in business for a certain amount of time and require a minimal annual revenue. If you are just starting out a personal loan or small business credit card may be something you look into. These are unsecured, so you will not be required to put up any collateral like you are with a business loan.

3. Gather documents: Business lenders will want to know if your business is a good risk before funding you. You will need to pull out all your financial statements; this will include the last three years of your bank statements, personal credit report and business and personal tax returns.

4. Check your credit: You will have more success if you have good personal credit. Your FICO score will range from 300-850. The better your credit, the lower your interest rate. The majority of borrowers range from 670-739. However, it is still possible to get a loan with poor credit.

Can you get a Arizona business loan with poor credit?

Yes, it is still possible to get a financing for your small business with poor credit. One way to do this is through a hard money business loan. These loans are meant for business owners who don’t qualify for traditional business loans. A hard money Arizona business loan is a loan that is backed by the business’s commercial real estate. A hard money loan is an asset based loan. In essence, you will be using your business’s commercial real estate as collateral for the loan. In case of default by the borrower, the property is used as protection. This is fantastic news for people with bad credit; because this loan is not based on the borrower’s FICO score. It is determined, almost completely, by the collateral you can offer to the lender. Hard money business loans are calculated by a loan-to-value ratio. The loan-to-value ratio is a percentage of the property's value. Typically, lenders will lend 70-75% of the value of the property used as collateral. These are non-traditional loans and are individuals or lending organizations. Hard money business loans are easy to apply for, easy to qualify for and borrowers will receive funds quickly.

No matter what financial situation you find yourself in, you will find funding for your business. If you are a veteran business owner (or a new business owner), don’t qualify with traditional banks’ strict standards, or need your funds available quickly— there is a lender for you.

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.

Monday, January 14, 2019

How to Start Flipping Houses

Do you dream of living a life like Tarek and Christina on ‘Flip or Flop’? Do you know it is possible to fix and flip houses with little to no money down?

Can you really flip a house in Arizona with no money down? YES! Most people believe it is impossible to flip a house with zero money down. Surprisingly, you can do it and it may not be as hard as you can imagine! There is no real hidden secret on how to invest in real estate with no money of your own. Flipping a house with none of your own money will require you to use someone else’s money; this is called OPM (other people’s money). To finance your investment, you will need to find an investor that will lend you the money to rehab the property. You will then pay them interest on the money you borrow.

Where can I find OPM?

There are a few places you can find ways to start investing with no money.

1. Find a partner: A simple way to get funding for your investment is a silent partner. If you have no money but have all the skills and will do all the heavy lifting, find a silent partner. They put the money in, you do the work and you split the profit equally. This could be a family member, a neighbor who has a successful business or anyone you know that has money. Keep in mind that you will do all the work and they will receive the same profit because they fronted you the money.

2. Private Money Lender: A private money lender is just a person with disposable income to invest. They can invest in literally anything; and often they invest in real estate and land. These lenders will have income, but it is income such as investments, mutual funds and IRAs. They will not necessarily have hard assets. To attract a private money lender, you will need to offer them a high enough interest rate that it is worth them lending you the money.

3. Hard Money Lender: A hard money lender is a great way to get funded. What these lenders do is help people by often funding 100% of the purchase at a higher interest rate. The great thing about hard money lenders is they will approve a borrower with “not so perfect” credit. However, you need hard assets. In case you don’t repay the loan, they will have the rights to those hard assets. You will find that their interest rates are higher than traditional loans and your loan terms will be shorter. This is a perfect way to borrow especially if you are confident the house will flip in a reasonably short time.

Things to consider when thinking of flipping houses in Arizona

Flipping houses in Arizona can be either a full-time or part-time job. If you have assets, but don’t want to spend your own money, have time and understand what it takes to be successful then Flipping houses in Arizona can be a lucrative job. It requires hard work and careful attention to detail. As any investment, it comes with risk. However, working with an experienced lender will help you figure out how to get started.

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.

Red Flags On Loans To Flip Houses in Arizona

Sometimes it can be challenging to find a good deal on Loans To Flip Houses in Arizona. But if you find a deal that looks too good to be true then it probably is fraudulent.

Getting into the flipping business takes a lot of hard work, research and time as well as a good amount of cash or a reliable lender. When you are seeking a solid lender for Loans To Flip Houses in Arizona, it is important that you understand the terms of the loan and the red flags to avoid so that you don’t end up overpaying for your loan or getting scammed altogether.

Any legitimate lender is going to be will if not actually eager to disclose all of the loan terms upfront. This is simply a way for the lender to know that you are serious and to avoid wasting his or her time on a borrower who can’t afford the terms of the loan or one who is not willing to pay the fees for the loan. If you run across a lender who will not provide you with a complete list of terms and all costs in writing, then you should quickly find a new lending resource. A lender who is not willing to provide this information is likely to have hidden fees and a hidden agenda when it comes to your loan.

For a very similar reason, if your lender is not willing to provide you with a complete copy of your documentation prior to signing the agreement, then there are almost certainly hidden fees or terms included that will work against you. Loans To Flip Houses in Arizona are complex documents and unless you are familiar with the terminology and the legal ramifications of the loan documents, then you need to have a legal professional review the contract before you sign it.

Less Than Helpful Lenders

Any lender who is not responsive or who is difficult to contact during the application process is very likely going to act in the same manner after you sign the loan agreement. If you feel that you are not getting the customer service that you deserve, it is better to end the process and begin to work with a different lender who better meets your needs.

Follow Your Gut

Selecting a lender who will provide you with Loans To Flip Houses in Arizona is a big decision. If at any time during the process, you begin to feel uneasy, pressured or ignored by a potential lender, then you need to sever the relationship. Ideally, you will find a lender and continue to work with him or her for many years to come and on many deals. So be sure that you find one who is reliable, professional and above all, one who is honest and clearly has the integrity that you desire in a business partner. Invest the time in selecting a good lender and you will undoubtedly save yourself money over the course of your real estate investing career.

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.

How to Make Money with an Arizona Airbnb

For some time it was difficult to run an Airbnb in the state of Arizona. However, thanks to Governor Doug Ducey, and the Arizona state lawmakers, residents of Arizona have a new possibility for financial growth.

Arizona lawmakers were worried about residents buying up property and turning the “house next door” into a hotel. Fortunately, for real estate investors the new laws were passed early last year and there are no limits to the number of properties that an investor can buy; add to that— there are no days that the home cannot be rented out. This means an investor can buy numerous homes on a street and potentially make the entire street Airbnb.

When it comes to potential income for Phoenix residents—the sky is the limit. Phoenix hosts MLB Spring training, Waste Management Phoenix Open, Barrett Jackson—add to that being the home of four professional sports teams and a division one college. That being said, Phoenix has thousands upon thousands of visitors each year.

HOW TO BECOME AN ARIZONA AIRBNB OWNER

1. Understand Rental Arbitrage— When the potential for profit is significantly higher than what it cost you to obtain that is called opportunity. Rental Arbitrage is when your achievable daily rental rate is obviously much greater than your actual daily rental cost. Every city will have this and it is important you do your homework for your market.

2. Be Realistic About Your Investment In Time—Unfortunately, you don’t just buy a property, list it and the money starts pouring in. This is business that will take some time to build. The key is in your reviews.

3. Find A Property—It is important to find property near places tourists would want to live. In Arizona a superb property would be in Sedona. If you are in Phoenix look towards Westgate— where the Cardinals are located, North Scottsdale, Old Town or Tempe. Make sure you research the annual events that will bring your customers to you.

REGULATIONS OF AIRBNB LOANS

The financing is always the tricky part when it comes to investing in an Airbnb. Although, it can be difficult finding funding for your Arizona Airbnb it is possible. Banks are watching carefully how properties are being used when it comes to approving new mortgages and refinancing existing ones. Mortgages that operate as rentals are riskier investments for banks than primary residence. The bank needs to feel confident that during times of vacancy the owner will be able to pay the mortgage.

A Arizona Hard Money Loan is a loan backed by the borrower’s assets versus their credit and monthly income. Arizona Hard Money Loans are easily approved sometimes within minutes—the borrower will have an approval usually within 24 hours and typically have their funds within two weeks. The borrower must have documents proving the value of their assets and that they are the legal owners. Arizona Hard Money Loans are short term loans usually ranging from one to five years. After the loan terms are up usually, they can be transitioned to a mortgage through a traditional bank.

If an Airbnb is something you have been interested in, find a property and make an appointment with a local hard money lender to get you on your way to financial freedom.

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.

Tuesday, January 15, 2019

Arizona Private Money Lenders Are There When You Need Them

There are three main types of Arizona Private Money Lenders:

Is a private money lender right for you?

Do You Wish You Could Buy An Investment Property But Your Bank Turned You Down?

BENEFITS OF A HARD MONEY LOAN

Is a hard money loan the right move for you?

How To Qualify for a Business Loan Regardless of Your Credit

HOW TO GET AN ARIZONA BUSINESS LOAN

Can you get a Arizona business loan with poor credit?

Monday, January 14, 2019

How to Start Flipping Houses

Where can I find OPM?

Things to consider when thinking of flipping houses in Arizona

Red Flags On Loans To Flip Houses in Arizona

Less Than Helpful Lenders

Follow Your Gut

How to Make Money with an Arizona Airbnb

For some time it was difficult to run an Airbnb in the state of Arizona. However, thanks to Governor Doug Ducey, and the Arizona state lawmakers, residents of Arizona have a new possibility for financial growth.

HOW TO BECOME AN ARIZONA AIRBNB OWNER

REGULATIONS OF AIRBNB LOANS

If an Airbnb is something you have been interested in, find a property and make an appointment with a local hard money lender to get you on your way to financial freedom.

Dennis DahlbergBroker/RI/CEO/MLOLevel 4 Funding LLC Hard Money LenderHard Money LoansHard Money LoanArizona Tel: (623) 582-4444Texas Tel: (512) 516-1177Dennis@level4funding.com Dennis Dahlberg Broker/RI/CEO

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