If it’s your aim to be a successful investor, I have to tell you to stop in your tracks and read this page immediately. There’s one thing that I’ve noticed one mistake almost evey real estate investor makes. If you continue to make that mistake, you will certainly make every hard money lender in town say no to you. And that is mistake is – making up imaginary scenarios and trying to find out if your hard money lender is willing to finance it. Unless you have a concrete deal, none of these guys will be willing to finance you.
If you provide a hard money lender with hypothetical analysis, the best he can give you is some talk about hypothetical money. If you really want to make money as a real estate investor, then go find properties, go find good deals, and put good deals under contract. Once you find good deals, finding the money is the simple part. We have seen brilliant investors who suffer from “analysis paralysis,” working up complex spreadsheets before they would make an offer or even look at a property. Bring your ideas into the real world if you want to see real money.
I know it is frustrating when a lot of hard money lenders out there will not make any commitment whatsoever. They won’t even let you know what counties they will lend in, what states, or what prices. They won’t be forthcoming with any information at all. All they will tell you is,”Hey, bring us the deal, and we will see.”
There are some kinds of information that every hard money lender should present you with. They should tell you their charges, the areas they service and all other guideliness. Will they allow rehab loans, commercial loans? Will they allow multi-unit properties? What price range they approve of? Do they allow family dwellings? You’ll have to know this information at all costs.
Every good hard money lender will have a website where they’ll have put all the necessary information that a typical real estate investor will require. That information will be more than enough for you to go and find hot property deals. With a website, you can find all the information that you need at just one go. However if the hard money lender you’re working with isn’t good enough, they won’t have an updated website with the information you need.
As a real estate investor, let me tell you the kind of deal that you will always get the financing for from your hard money lender – Single family homes in major metropolitan areas for under $250,000. These kinds of homes will be readily financed by your hard money lender. So spend all your time and energy finding such very good deals. Where there’s a hot deal, money flows naturally.
Well… there you go. Following those simple guideliness is sure to help you find a hot property that will be approved by your hard money lender. However, there’s more to it than just that. If you are looking for more help on finding hot deals, visit this page – hard money lenders.