Setabay Private Hard Money Lender

Tuesday, January 15, 2019

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.

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.

3 Reasons to Leverage Rental Property Loans In Arizona in 2019

The new year is slated to bring changes to the housing market, and chances are, your area will see a boom in rentals. Now’s a great time to start evaluating your options for Rental Property Loans In Arizona if you hope to cash in on the growing market.

1. The economy is strong. The telltale signs of a strong economy are everywhere. The Bureau of Labor Statistics (BLS) puts unemployment at just 3.7%, down form 4% last summer and 4.4% last year. Earnings are also up, and the consumer price index shows living costs are holding steady. People are more able to spend on fun things like vacations, making now a good time to great time to have a vacation home and get it listed on sites like Airbnb and HomeAway.

3. Affordable housing is drying up. One downside to the great economy is that more people have been able to get into homes. According to a new report from CNBC, the low end of the housing market has the highest demand, and also has the fewest offerings. Because of this, multi-family units and single-home rentals will continue to be solid investments.

3. The cost to own is rising. Naturally, when fewer homes are on the market, prices increase. They’ve been climbing at a steady pace for years now. Adding to this, interest rates are up; higher than they were a year ago, though certainly not at all-time highs. Those who can secure Rental Property Loans In Arizona are in a unique position to make the most of the market shifts.

Evaluate Your Market to Ensure Top ROI

Not all markets are seeing the exact same shifts, cautions the CNBC report. Coastal areas, in particular, are seeing the first shifts and are therefore hit the hardest by changing markets thus far. The trend is expected to move inland, though experts believe that more new homes will come available and relieve some of the strain. If you’re considering taking out Rental Property Loans In Arizona to fund your investments, do a comprehensive market analysis and see what new home growth has been like or perhaps focus on a strategy like fix-and-holds in inner-city areas with little opportunity for future housing growth to ensure a smart purchase today will be a wise investment tomorrow.

A diverse portfolio is key to remaining successful.

“The housing recovery may have peaked, but it isn't over. As more supply hits the market, sales will grow again,” says CNBC real estate reporter Diana Olick. The changing market being seen today is typical of a cyclical market, and the only way to ensure you always have steady revenue is to diversify your holdings. However, Olick adds that “a huge generation is aging into its homebuying years, and another huge generation is downsizing,” plus younger generations tend to favor rentals to begin with. If you’ve historically focused on fix-and-flips, now is a good time to explore your options for rental property loans in Arizona, so you can generate cash today and continue earning for life.

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

Monday, January 14, 2019

Can You Get Private Money Lenders in Arizona to Fund Fire-Damaged Flips?

There’s an abundance of fire-damaged homes on the market today and they can make great fix-and-flips. However, you need a solid plan and a connection to the right Private Money Lenders in Arizona to help you.

With the recent surge in wildfires, a whole lot of fire-damaged properties are hitting the market. This is a great time to pick up new fix-and-flips, but because of the level of expertise needed to carry out projects, it can be a challenge to find Private Money Lenders in Arizona who are willing to invest.

If you haven’t worked on fire-damaged properties before, this is one situation where it pays to bring on expert help. Before you jump in, talk to a contractor or restoration company which specializes in fire damage. In some cases, the damage is quite superficial. Homes that are damaged mostly by smoke often need little more than treatment for the scent, cleaning, carpets replaced, and cosmetic adjustments. On the other hand, it becomes a lot more involved when the home ignited. If the fire went unchecked, there can be structural damage and entire floors needing to be gutted, and if the fire department was deployed, chances are there’s mold and water damage too. None of these things means a property can’t be flipped for profit, but if does mean the complexity of the repairs increases.

You’ll also need to pay special attention to permitting and local regulations, as failure to adhere to repair guidelines could lead to issues years down the road. For example, codes typically dictate how much of a stud can be charred without replacement. If you and your contractors are mindful of these codes and do quality repairs, you can walk away with profit and a good feeling about the work you’ve done, but shoddy contractors may try to leave pieces in place that legally and ethically need to be replaced; it’s on you to ensure it’s done right. You’ll also need to address any underlying issues. For example, if something in the home, such as an electrical problem, contributed to the burn, you’ll need to address this too. Details about the damage and the steps you took to repair it will be part of the disclosure process when you sell. That’s rarely an issue with potential buyers if you’ve done the repairs well though.

Rehab Pros Create a Win-Win Solution By Taking on Fire-Damaged Properties

It’s a challenging time for homeowners as few have the experience or expertise needed to rebuild after a fire. Many simply want to walk away and start over, but are tied down to properties they can’t get out of. Those who work in fix-and-flips are in a position to make a real difference for people during this emotional time. They have the ability to change the life of the family by allowing them to move on swiftly and can give back to communities by helping with the rebuilding process. Overseeing the rehab often works out well for the flipper too—some have seen ROI top 100%. That’s good news for private money lenders, too. When you’ve proven you have what it takes to rehab a fire-damaged property, the person who funds your deals profits alongside you and is often eager to sign up for the next project as well.

An experienced broker will find funding and terms that are right for you.

Fire-damaged homes can be great bargains and yield great profits, but because of the complexity, banks are quite wary of them and some Private Money Lenders in Arizona are standoffish too. However, if you connect with the right broker, he or she will find someone who understands the nature of what you’re doing and will find you great terms too.

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

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.

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

How to Make Money with Residential Hard Money Lenders in Arizona in 2019

Have you heard the housing market is cooling off? Freddie Mac’s Chief Economist says this isn’t so, meaning the outlook is good for those working with residential Hard Money Lenders in Arizona.

“I don't think the recovery is over,” Freddie Mac’s Chief Economist Sam Khater recently told reporters. “Economic growth is still very strong and essentially running at capacity.” This information came in amidst reports that the market was cooling, with slumps in home sales as evidence. Yet, Khater and other experts agree that demand for homes, both new and resale, is still quite strong.

Throughout 2018, many positive shifts impacted the housing market. For example, a stronger labor market paired with overall gains in the economy made it possible for more people to purchase homes. The natural result is diminishing housing stock, which means prices are rising. Adding to this, interest rates are climbing, construction of single-family homes has leveled out, and sales have dropped off.

“While the decline in home sales and deceleration in home price growth has been broad-based, the slowdown is more intense in the hot coastal markets -- which is a natural reaction to rapidly escalating home prices and higher rates versus a year ago,” he explained. One other area seeing a shift is the low-end of the market, with supplies dwindling and many would-be homebuyers being priced out of the market.

Projections Suggest a Shift in Strategy Will Lead to Greater Success

Whereas 2018 was a strong year to cash in on luxury properties due to the gains being seen, those doing fix-and-flips or fix-and-holds with the help of residential Hard Money Lenders in Arizona may do better to focus on the lower end of the market this coming year. The greatest demand is coming from people in search of affordable homes, so those who find properties with strong bones in need of TLC and make them move-in ready will have little trouble getting them resold upon completion. However, greater emphasis must be placed in choosing properties, as fix-and-flip pros will not be able to rely on market increases to yield gains as much as they have in the past. As noted by Khater, specific locations, such as coastal areas, are the hardest-hit by the shit, whereas inland markets are still seeing value gains. Equally, the surge in prices which has left many unable to purchase suggests 2019 will also be a strong year for those who work in fix-and-holds with residential Hard Money Lenders in Arizona, particularly when it comes to multi-family units.

Alternative lending is a boon for savvy entrepreneurs ready to capitalize on the changing market.

Due to diminished stock and increasing competition for affordable homes, home rehab pros will need to move quickly to grab up properties before the competition does. Negotiating better deals will also become more important due to the slower value gains. Those who work with residential Hard Money Lenders in Arizona will be at a distinct advantage in both these areas, as sellers will want sure bets with mortgage approvals being down and cash-in-hand will be king when sealing deals.

Setabay Private Hard Money Lender

Tuesday, January 15, 2019

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?

3 Reasons to Leverage Rental Property Loans In Arizona in 2019

The new year is slated to bring changes to the housing market, and chances are, your area will see a boom in rentals. Now’s a great time to start evaluating your options for Rental Property Loans In Arizona if you hope to cash in on the growing market.

Evaluate Your Market to Ensure Top ROI

A diverse portfolio is key to remaining successful.

Monday, January 14, 2019

Can You Get Private Money Lenders in Arizona to Fund Fire-Damaged Flips?

There’s an abundance of fire-damaged homes on the market today and they can make great fix-and-flips. However, you need a solid plan and a connection to the right Private Money Lenders in Arizona to help you.

Rehab Pros Create a Win-Win Solution By Taking on Fire-Damaged Properties

An experienced broker will find funding and terms that are right for you.

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 Residential Hard Money Lenders in Arizona in 2019

Have you heard the housing market is cooling off? Freddie Mac’s Chief Economist says this isn’t so, meaning the outlook is good for those working with residential Hard Money Lenders in Arizona.

Projections Suggest a Shift in Strategy Will Lead to Greater Success

Alternative lending is a boon for savvy entrepreneurs ready to capitalize on the changing market.

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