Setabay Private Hard Money Lender: califonia hard money

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Monday, March 20, 2017

Hard Money Loans in California Just One Way To Get Your Pot Business Started

Federally insured financial establishments are not allowed to work with pot dispensaries but if you want to get into the business, you have to get your money from somewhere. Hard Money Loans in California are one option, but there are others.

It probably still sounds strange to some, but depending on how you do it and which state you live in, it can be legal to sell marijuana. If the media has taught us anything, there is some serious cash to be made in legalized pot. However, since the federal government does not recognize it as legal, federally insured financial institutions are not allowed to approve loans for marijuana dispensaries or even take deposits from them.

So—does this mean you have to be already independently wealthy to open a pot dispensary? Of course not! There are ways to find the money. Hard Money Loans in California are a common method, but they are far from the only option available.

Options Other Than Hard Money Loans in California For The Pot Industry

Hard money loans can be obtained to get the capital you need to get started, but what if the terms are not that friendly and you have already hit up every other hard money lender in the area? Are you screwed? Is this guy dictating such terrible terms because he knows you are screwed?

You aren’t, of course. But it will get a little more challenging to find your funding. The following are a few options:

• Friends and family: It can be embarrassing and hard to ask your friends and family to invest. Doing so certainly comes with an element of risk (how do you tell your brother to quit sticking his nose in the business when he put up $50,000?), but your family and friends are less likely to charge you an insane amount of interest.

• Attend industry events: If you want to find someone who is pro-marijuana and could be interested in investing in a dispensary, attend a trade show, conference, or some other kind of gathering. They wouldn’t be there if they were not interested, and if they don’t have the money to invest, they may know someone who does.

• Private equity funds: This will probably not work if you are trying to get started, but if you are established, have a brand, and want to expand, private equity firms are becoming interested in the market and may be willing to strike a deal.

• Foreign investors: According to some cannabis industry insiders, there have been some Chinese investors making waves in Oregon of late. The talk is just being classified as “rumor” for now, but if you are running out of options, it is something to keep in mind.

There Are Always Options…

If you want to get into the business bad enough, but don’t want to sell your soul to get approved for any Hard Money Loans in California, there are options out there. You just have to look for them and be open to the possibility.

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

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Tuesday, October 4, 2016

Four Things To Consider Before Calling Your California Private Money Lender

When you are looking to snatch up a property before someone else comes along, you need to act quickly, but before you call your California Private Money lender, there are four things about the property you may want to consider.

One of the toughest things an investor has to do is keep from getting too excited about a property. It can be real easy to see something, for whatever reason fall in love with it, and then lose all sense of objectivity when evaluating it as an investment. There is nothing worse than revisiting it days or weeks later with fresh eyes and seeing everything you didn’t before.

So before you jump the gun, call your California Private Money lender and commit yourself to expensive loan, there are certain things you may want to consider first.

Before You Call Your California Private Money Lender…

One of the great things about a private money lender is the ability to get a loan fast tracked and the money in hand needed to secure a property. However, before you get the ball rolling, make sure you take four things into consideration:

Property Location: You’ve heard it before—location! Location! Location! A good location can save the worst of properties. People don’t want to buy the city dump, but if the dump has a prime spot in the local mall or a great view of the ocean, that may be enough for an investor. The investor will in turn be more than happy to fix up the property and sell or rent it for a small fortune.

Property Condition: Location has a lot to do with the value of a property, but if it is in deplorable condition, it may still be difficult to sell. At the same time, beware taking on a project that is a clear fixer upper. Once you start working on it, there is no telling what you may find. Be aware of just how bad the condition may be so you don’t find yourself biting off more than you can chew.

Price: Of course you want to take a look at the price! Everyone knows that, but the question is why? If it appears to be too high, do they know something you don’t? There must be a reason why the price is what it is. If it is too low, you have to wonder why they don’t want more. Do they just want to get rid of it? Is there a drainage, electrical, or some other kind of issue brewing? If it will cost a lot to rehab the property, is that factored in to the price tag?

After Rehab Value: This will more than likely be why you call your California Private Money Lender. What can you sell the property for after you fix it up? Will it be worth paying what they are asking for it and the rehab expenses? Or do you need to negotiate a lower price? Can you make enough money off the rehabbed property to make it worth buying?

Your Private Money Checklist

Decisions involving investments are often pretty hard to make. You don’t want to rush into anything, but at the same time, you don’t want to wait too long and lose an opportunity. So if you are an investor or someone looking into it, you should keep a checklist in mind to help you make objective decisions on things.

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

Monday, October 3, 2016

Things To Consider When Applying For A California Private Money Loan

Whether you are working with a private money lender in Texas or a California Private Money Lender, there will be things that you will want to consider before committing to anything.

Any financing option is going to come with certain clauses, regulations, and/or requirements that a borrower should familiarize themselves with before pursuing the option. For instance, when someone in Los Angeles hunts down a California Private Money Lender so he can get his reality show off the ground, he will need to be prepared for certain things.

Since it is a private money loan, the interest rate will be a lot higher. It is the tradeoff you have to accept to get the money sooner rather than later and because of less than desirable credit. It’s the cost that everyone expects when they apply for a private money loan.

But it isn’t the only cost.

Beware The Cost Of Working With A California Private Money Lender

Like private money lenders everywhere, there will be cost borrowers will have to handle when they apply for a California Private Money loan. Those costs can be categorized as up-front, interim, and renewal:

Up-Front: when you apply for a private money loan you will have to deal with certain costs as part of the application process. Points are basically compensation to the lender for just getting the ball rolling. A borrower may also have to pay a referral fee to whoever pointed them in the right direction. Since the loan documents are typically not cut and dry, the processing, document prep, and other fees may be a little higher as well.

Interim: throughout the life of the loan there will be certain costs a borrower will have to pay along the way like interest, amortization, late fees, and taxes and insurance costs. Should a borrower become delinquent, the lender can advance against the loan to cover the costs of appraisals, unpaid taxes, foreclosure fees or legal fees.

Renewal Costs: it is not unusual for a California Private Money loan to include a massive balloon payment at the end of the loan’s term. If the borrower can’t pay it they may request a renewal. In doing so, they will likely have to give up more points up front as well as cover closing costs and any expenses related to document preparation.

The Truth About Private Money

There is money to be made in financing, which is why so many companies exist for the sole purpose of providing people with the financing option of their dreams. While it all may seem magnanimous at the time, the cold, hard truth is the lender doesn’t care about the borrower or his/her dreams. They know you can’t get a loan elsewhere and have no choice but to turn to them.

So what do they do? They do like any good business person would—they take advantage of the borrower’s necessity and charge accordingly.

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.

Monday, September 12, 2016

How to find a California Private Hard Money Lender

When it comes to finding a California private hard money lender, you probably don’t even know where to begin or rather how to start a viable search and that is okay. In California, there are so many lender options that you will more than likely need a helping hand.

Generally, when you are trying to a reputable California private hard money lender the first place you should start is by checking the nationwide lender directory online. This particular directory allows you or anyone to search by loan type, loan size, location or keyword such as construction loan, etc. Moreover, this directory will provide you with direct access to your potential lenders in general or specific private non-bank lenders. In addition to searching for a California private hard money lender via the nationwide lender directory, you can also ask for references from your business associates.

Regardless, of which search method you choose to take advantage of, finding a few good names doesn’t mean you are done. Clearly, you need to contact at least your top 10 lenders and present each of them or the majority of them your loan scenario. Remember, it is important to find a lender that is likely to approve your loan request, but it is also important to work with someone that you feel comfortable working with.

Once you have set your sights on your future lender, the next step is clearly the application process. Nevertheless, it is still important to highlight that you make sure your future lender offers the commercial real estate loan type that is right for your business venture or project. By taking the time to make sure you have chosen your best option as well as the most compatible private lender you will ultimately save yourself a lot of time and money.

Application Process Advice

The application process of private money financing is typically the next step if we want to simplify the overall process. In other words, if you choose to work with a broker then step one is making sure you that you have an acceptable deal before signing your contract. Once you have properly vetted your lenders and signed your contract, you should get in touch with an appraisal company at least for an estimate of your proposed commercial building or of the real estate that you want to use as collateral. Of course, most lenders will want to use their own third-party appraiser, but at least you will have a clear idea of the value of your collateral.

Private Money Broker can lend a Helping Hand

The actual application itself is often not difficult to fill out and generally requires bank statements/ tax information. A private money broker can quickly take care of this for you if you so choose. After the application is completed and credit reports have been pulled, your lender will begin the underwriting process. While your lender is reviewing your application you should be taking this down time to coordinate with your real estate attorney and/or title company in order to close on your commercial property.

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.

Thursday, September 8, 2016

The Benefits of California Hard Money Loans

Considering a California hard money loan for your next commercial project or business plan? If that’s where your financing search is headed then it’s important to know the pros and cons.

By know you know California hard money loans are some of the most readily available hard money financing options, which is great for shopping around for the best rates and terms. But, in general, you may be wondering what exactly the benefits or rather advantages of California hard money loans are? Moreover, you may also want to know exactly what the disadvantages are of these particular kinds of loans. Well, the good news is the benefits outweigh the disadvantages by far.

For instance, starting out with the benefits, you will find out early on that these particular loans are approved and funded quickly, which is often the main reason people choose to use hard money in the first place. The next benefit you will find is that hard money financing options have fewer requirements. This means that unlike traditional financing options or bank lending you will not have to deal with an exorbitant amount of red tape. Consequently, common red flags such as bad credit, a previous foreclosure or bankruptcies are less likely to harm your chances of getting approved.

Another major benefit to hard money is the ability to get a project funded that you were unable to get funded or rather financed anywhere else. One common example is a fix and flip project. Often, banks are not interested in short-term lending. This is not to say that banks do not offer short-term options but rather that banks are in the business of making money and the easiest way to do that is to approve long-term loans more often. Furthermore, banks look at these kinds of projects such as a fix and flip as high-risk which only make getting financing harder.

The Pitfalls of Hard Money

So now that we’ve covered the major benefits of all things hard money, let’s talk about those pesky pitfalls and disadvantages. The top disadvantage when dealing with hard money financing is of course that higher than average interest rate. But, in reality, just as banks need to make a profit and are concerned about high-risk borrowers, non-bank lenders need to see some return on their investment hence the higher rates. Disadvantage number 2 is the fact that hard money financing is only available for short-term use. This means if you are looking for financing for a project that others have deemed high-risk for more than 1-5 years you may have to look elsewhere.

Commercial Hard Money

Lastly, hard money loans require either a minimum amount of equity i.e. at least 25% or a significant down payment. In the world of Commercial hard money, that minimum amount becomes 40% and the down payment is much larger. This increase is ultimately due to the fact that if there is a default, selling the commercial property is much harder to do and often requires a discounted sale price in order to recoup what the non-bank lender lost.

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.

Monday, September 5, 2016

Do California hard money lenders need Twitter or Instagram?

Social media reigns supreme over everything in this day and age. If you were to go outside right now most likely you would see at least 50 people with their heads craning over a smartphone or tablet. Most of the time they are endlessly switching through various applications and websites. Why not have your clients look at a local California hard money lender’s site or account?

In the real estate industry being ahead of the curve technologically could help you gain a lot of clientele. A simple tweet about the current statistics of the real estate market is greatly appreciated by the general public. But how can this help the local California hard money lender?

Yes, it can be advantageous to your business if you want to make yourself be known in the industry. A simple Twitter account is simple and easy to make and maintain. Since people have busy lifestyles to maintain and they do not have time to read a brochure or a well thought out blog post about the differences between commercial loan and a balloon loan is. A quick 140 characters on what is popular in the market or what type of homes are gaining a lot of attention are really good at getting more followers.

Now even Twitter and Instagram have started catering toward business focused accounts. You can now add your personal information and websites so your followers can go directly to your business profile. It also allows you to have your own Twitter apart from your business. This allows you to still have your personal life without conflicting with your real estate business. As we have previously stated before you need to make sure that you have a fairly clear digital footprint. Separating the two will give you the option to say and do what you want when you want.

What should you don't post as a California hard money lender?

When you have a specialty account to have to focus on what makes you, as a California hard money lender, different from other people. You want to make sure that your personality shines through the blue screens of your potential clients. That being said you do not want to say or retweet certain things that may seem controversial to a potential homebuyer. For example, you may follow a person that has dissenting views of immigrants; it may not be a good idea to reblog a lot of tweets from them.

If you favor Instagram over Twitter, make sure that you check and double check all of the pictures that you are thinking about posting. You do not want to accidentally post a picture of you in a bathing suit with a caption about how the market is making a roaring comeback. No one will take your business seriously.

How can you make money as a California hard money lender on social media?

Easy, you can have advertisements posted throughout your page with companies that can pay you. Depending on what type of business it is you could also gain an ally in the long run.

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.

Friday, September 2, 2016

Do you have a digital footprint that stand apart from other California hard money lenders?

Your digital footprint is one of the most important things that you should care about in your day to day life. This goes double if you are in the real estate business. You want your potential clients to see that you are a fair and just business person. As a California hard money lender you should always be aware of what you are posting on the Internet.

This is the age of transparency. With the right technique and a few keystrokes your career could possibly end, and there would not be a thing that you could do about it. California hard money lenders are not the exception to this at all. In fact they should be certain to keep your business free and clear of any indiscretions. With California being one of the states that suffered tremendously from the housing bubble burst, it is a good idea to keep things simple and clear.

You already have a lot of things going against you in the real estate industry; do not be one of the things that could potentially hold you back. If you can, try to wipe most of the negative things about yourself off the internet. That embarrassing photo you took while at a realty convention, delete it. That horrible joke you may not agree with but decided to repost anyway, delete it. The terrible paragraph long rant you had about the government, once again, delete it. Any and everything can hurt you and possibly have you passed up for another California hard money lender.

You do not have to like or comment on every single thing that you see cascading down your timeline. In fact, if you can, try to remove yourself from your social media for a periods of time. Take a break to focus on what really matters; finding new clients and building better communities. If you can try to hire a social media consultant that can help you. This can be one of your greatest investments for your business. However, you want to make sure that you are periodically checking to make sure things run smoothly.

Do not try to discredit or bash other California hard money lenders.

Yes, this is a capitalist country, people want options, but never throw another California hard money lender under the bus. You especially do not want to do that out in the open where everyone can see it and repost it. Once you put some on the Internet it usually stays there forever. So be extremely careful.

You also want to make sure that you leave your personal views out of cyberspace, as well. Yes, you may believe that the President is a bonehead, but you do not need to express it every ten minutes. People see and people get extremely annoyed by it.

Do not do what other California hard money lenders do.

No every California hard money lender’s website has to have a bald eagle with an American flag on it saying, “God Bless America.” It is very cliché and it makes you look very xenophobic. And please for the love of God, don’t share your political views.

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.

Thursday, September 1, 2016

Should you keep pursuing your career as a California hard money lender?

The real estate business can be a very tough and long process. There is a certain type of grit that you have to possess within yourself to make it as a California hard money lender. You have to be able to pick yourself up at times and drive through it so that you can come out on top in the long run.

The real estate market has had to deal with a lot of backlash in the recent years. The Great Recession near the end of the decade left a bad taste many people’s mouths. States, like California, are still trying to rebuild and remedy the fallout. So where does this place the typical California hard money lender? This could mean hundreds of things that you have to now worry about to make sure your business stays afloat.

For example, one of the biggest things that you have to keep in mind is the Dodd-Frank Act that was passed by Congress. Essentially, the Act was drafted to help prevent another Recession from happening in the future. Within the 14,000 pages, there is a lot of political jargon that is supposedly used to protect the general public; although many real estate professionals argue otherwise. This is very understandable since there are now a lot of new regulations that could affect lenders in a negative way. For example, now there has to be a certain level of transparency with the government. For instance, if in a previous year you made over a certain amount in revenue you have to report it to the SEC.

For California hard money lenders especially the real estate business is a tough cookie.

California has been making steady growth over the last couple of years. After the real estate market took a decline of about half getting back in the swing of things has been an uphill battle for a lot of people that are trying to get their foot in the door. One of the biggest things that you would have to deal with if you do want to become a California hard money lender is the lack of people that want to buy property. So the scraps that you could potentially find may not be sold or paid off for a while. In time as we all know this will lead to less money coming in to your business.

In fact, when you pull up a Google search of current California real estate you will find that a lot of the homes are being sold at extremely high prices. Depending on how you flip the pricing or the way you could potentially award your loan there is not a super high guarantee on a return.

And do not forget about the other California hard money lenders

You also have to remember that there will always be another person trying to get the same clients as you. As soon as you hit enter in your search bar at least 20 different investment firms will pop up, and those are only the ones that have figured out how to work Google analytics. Just imagine all of the smaller California hard money lenders that you will most like have to battle with over potential investments.

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.

Setabay Private Hard Money Lender

Monday, March 20, 2017

Hard Money Loans in California Just One Way To Get Your Pot Business Started

Tuesday, October 4, 2016

Four Things To Consider Before Calling Your California Private Money Lender

When you are looking to snatch up a property before someone else comes along, you need to act quickly, but before you call your California Private Money lender, there are four things about the property you may want to consider.

Before You Call Your California Private Money Lender…

Your Private Money Checklist

Monday, October 3, 2016

Things To Consider When Applying For A California Private Money Loan

Whether you are working with a private money lender in Texas or a California Private Money Lender, there will be things that you will want to consider before committing to anything.

Beware The Cost Of Working With A California Private Money Lender

The Truth About Private Money

Monday, September 12, 2016

How to find a California Private Hard Money Lender

When it comes to finding a California private hard money lender, you probably don’t even know where to begin or rather how to start a viable search and that is okay. In California, there are so many lender options that you will more than likely need a helping hand.

Application Process Advice

Private Money Broker can lend a Helping Hand

Thursday, September 8, 2016

The Benefits of California Hard Money Loans

Considering a California hard money loan for your next commercial project or business plan? If that’s where your financing search is headed then it’s important to know the pros and cons.

The Pitfalls of Hard Money

Commercial Hard Money

Monday, September 5, 2016

Do California hard money lenders need Twitter or Instagram?

What should you don't post as a California hard money lender?

How can you make money as a California hard money lender on social media?

Friday, September 2, 2016

Do you have a digital footprint that stand apart from other California hard money lenders?

Do not try to discredit or bash other California hard money lenders.

Do not do what other California hard money lenders do.

Thursday, September 1, 2016

Should you keep pursuing your career as a California hard money lender?

The real estate business can be a very tough and long process. There is a certain type of grit that you have to possess within yourself to make it as a California hard money lender. You have to be able to pick yourself up at times and drive through it so that you can come out on top in the long run.

For California hard money lenders especially the real estate business is a tough cookie.

And do not forget about the other California hard money lenders

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