Tips to Obtaining Hard Money Loans Fast

Hard money loans are used for short-term projects, usually ranging from as little as 30 days to 5 years. But these loans also come with higher interest rates. But if you need to get extra finances quickly, this type of funding is the right choice for you.

Fast approvals are usually quite easy when it comes to hard money loans. On top of quick approvals, these loans also come with high flexibility and less documentation is required for approval. Usually they are used as a last resort when unable to get a mortgage, but it can be well worth it.

If you are looking to finance a real estate investment, this type of funding is very beneficial in its own ways. The application process is much shorter compared to other loans. Financial history of course does play a role, but other factors come into play as well. Many lenders aren’t concerned with the present value. Their main concern is to see that in a short time, they will be able to make their money back on the investment, including interest.

Since lenders are looking more at the final project, making plans for the property plays a big part and can help you get hard money loans even faster. Most of the time, funding is provided in just a couple of weeks. But if need be, you sometimes can get the funds as little as just a few days, all depending on the lender and certain circumstances.

The first thing to do to obtain a loan quickly is to gather all of the important documentation.

Gathering all of the important documentation and information needed for lenders is one of the most basic factors for a speedy process. Things that lenders are looking for include: what kind of property you are looking to invest in (residential, commercial, industrial or land), the estimated value of the property, the requested loan amount and how the loan with be paid back (this includes the terms of loan, the length and monthly payments).

Not only is the process of getting funds quick, so is the application.

Unlike other loans, hard money loans come with much easier applications. In fact, the application is only 5 pages long. The entire process will even go quicker if you are able to present all of the information that the lender needs sooner rather than later. This is why organization of all of your documents and plans come in handy.

Dennis Dahlberg
Broker/RI/CEO/MLO
Level 4 Funding LLC  Private Hard Money Lender
Arizona Tel:  (623) 582-4444
Texas Tel:      (512) 516-1177
Dennis@level4funding.com NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 Congress Ave |Austin | Texas | 78701

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.

Technorati Tags: commercial loans,commercial lending,commercial mortgage

Why There are Mixed Signals for Commercial Loans in 2018

Many are optimistic for 2018 to be a great year when it comes to commercial loans, but others are also preparing for some bad financial scenarios to hit this year.

The multifamily market on the west coast could be a cause for some concern. Rental rates have increased, causing the market to be unsustainable. Also, there is stiff competition among lenders, which leads to many dealing with commercial loans to expect an intense 2018 among lenders.

Because of this tough competition, lenders are starting to take more risks by approving higher-risk commercial loans. And if the market takes a turn for the worse, this could put many lenders in a bind. Even though signs do point to a stable 2018, lenders should be prepared in case of a sharp turn.

But the majority in the industry think that momentum from 2017 will carry over into 2018. They also this that not only will there be stability, but that the commercial industry could even see a 5 percent increase.

Many are optimistic for 2018, but some of the issues could be the start of a downfall in the market.

The issues with stiff lender completion and increase in rental rates could be the start of the marketing taking a turn for the worse. It might take a couple of years, but the impact could start in 2018. Especially if the issues continue or if new issues come up.

Some bad signs are also hitting office properties and retail stores.

More people are starting to work from home, which is becoming a bad sign for office properties. With people using their home as their office, there is no need for office spaces, which is leading to a higher vacancy. Retail stores are also starting to lay off more employees, which is another bad sign. That means that they could be on their way to going out of business, leading to the vacancy of even more spaces.

Dennis Dahlberg
Broker/RI/CEO/MLO
Level 4 Funding LLC  Private Hard Money Lender
Arizona Tel:  (623) 582-4444
Texas Tel:      (512) 516-1177
Dennis@level4funding.com NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 Congress Ave |Austin | Texas | 78701

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.

Technorati Tags: commercial loans,commercial lending,commercial mortgage

How to Raise Your Business Credit Score for Commercial Loans

Your business credit score will play a role in approval for commercial loans. If your business is just starting out, you might not have an impressive credit score, but there are things you can do to boost your credit score to avoid denial.

Credit score is reflection of your financial history and that means you want it to be great because it says a lot about your business’ credibility and stability. It also plays a part in getting approved for extra funding and is a good way to avoid having to pay higher interest rates or higher fees.

There are things you should do to boost your credit score. One of the easiest ways to do this is to always make payments on time to creditors. Making payments early will boost your credit score even more. Those with perfect credit scores are known for having a track record of making payment early. Start doing this sooner rather than later, the longer you do this, the better your score. You want to use your credit cards, this can help increase your credit score, but avoid hitting the maximum limit.

Keep in mind that public records will also play a role in your credit score on top of getting approved for commercial loans. Things filed like judgements, liens and bankruptcies are public record and could have a negative impact on your credit score. That means all of the hard work you have put in boosting your score could go down the drain. You want to avoid having anything financially wrong on your financial record.

Borrow from the right lenders, ones that actually report to credit bureaus.

It is okay to be picky when it comes to choosing the right lender. Commercial loans can boost your credit score but making payments on time, but they need to be reported to the credit bureaus. That is why you should always ask your lender beforehand if they report. Banks usually always report, but it is not a requirement for lenders to do so.

Building a better credit score has its many benefits.

Having a good credit score will help with many things like lower interest rates on commercial loans or credit cards. Plus, you will usually be able to come to better terms with supplies, attract new customers and establish a good reputation with existing customers. Of course, credit scores can be calculated in a variety of ways and can vary, but always try to keep as up to date as you can on your current credit score.

Dennis Dahlberg
Broker/RI/CEO/MLO
Level 4 Funding LLC  Private Hard Money Lender
Arizona Tel:  (623) 582-4444
Texas Tel:      (512) 516-1177
Dennis@level4funding.com NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 Congress Ave |Austin | Texas | 78701

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.

Technorati Tags: commercial loans,commercial lending,commercial mortgage

Why You Might Be Getting Denied for Commercial Loans

Getting approved for commercial loans can be tough. Luckily, some small businesses are being able to get a helping hand from lenders and banks. This can lead to a boost in economy and job growth. But some denials are still occurring, so why?

Applying for the loan can be the easy part. Waiting for the answer is what is that hard part. There are many reasons for denials, but one of the most common is insufficient revenue. Showing lack of cash flow is going to turn any lenders or banks away from wanting to help fund you. Your business needs to be able to prove that you have a successful cash flow and are deserving getting extra funding.

Other factors also play a role in approval of commercial loans. Lenders and banks will also take at all equipment that is available or being used. They will also look at the location of your business and the inventory quality. Having issues with any of these things can be reason for denial.

The stability and credibility of your business is also going to play a large role. These things can be proved with an excellent credit score. Coming up with a plan to present to lenders and banks about why the extra funding is needed and how it will boost your revenue is another way to avoid denial. Proving that you have a stellar financial track record and that there is good reason for the funding will almost always guarantee approval on all commercial loans.

Keep in mind that credit always play a large role in approval.

Banks strongly encourage a credit score closer to 700. Lenders are a little less lenient, but still prefer a credit score of at least around 650. If you are having a hard time boosting your credit score. There are many things you can do. Start by making all of your payments on time. Also, start off small. You can try to obtain small loans to help build your credit up so that you won’t get denied when you try applying for larger commercial loans. Planning for the future is always a good idea and you can do this by starting off small and building your way up to larger funding projects.

Really consider if it is the right time to apply because you never want to get denied.

If you aren’t quite ready to apply and get approved for commercial loans, it might be a good idea to wait. It is better to wait for the time to be right than to be denied all the time. Denial can really take a huge hit on your ego. It is best to try and get approved on your first try. So, take your time considering all of the benefits and negatives of applying at this time. Do plenty of research and build a solid foundation. And also, never get a loan when it is not necessary.

Dennis Dahlberg
Broker/RI/CEO/MLO
Level 4 Funding LLC  Private Hard Money Lender
Arizona Tel:  (623) 582-4444
Texas Tel:      (512) 516-1177
Dennis@level4funding.com NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 Congress Ave |Austin | Texas | 78701

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.

Technorati Tags: commercial loans,commercial lending,commercial mortgage

Why Asking the Right Questions is Important While Finding the Right Hard Money Lender

Working with the right hard money lenders is important on so many levels. Many things need to be considered like the location, property type and intended use for the loan. That is why choosing a lender that specializes in hard money is a good idea. Just make sure to ask the right questions to know you are choosing the right one.

A reputable lender will have no issues openly answering any questions that you have. Some questions that are commonly asked include, who decides approval of the loan? Is there any way I can speak directly with that person? Which law firm do you work with to document the information? Don’t be afraid to ask any questions that you may have.

Asking about providing references is also common and it is totally fine to ask for them or to even ask for examples of similar transactions that have financed or approved. Hard money lenders that shows signs of being reluctant to answering these questions or shows any hesitation, could be a red flag and should cause you to dig deeper to find out more information about the lender.

Feel free to ask about how they can work with you if you are unable to qualify for any conventional loans because of things like poor credit. Establishing a trusting relationship with your hard money lenders is going to help you in the long run. You always want to be upfront with your lender and feel comfortable talking about your finances and needs with them. In return, they should always be upfront with you as well.

Always discuss your plans for the future and what you are using the extra funds for.

The first thing to do is decide how you will use the funds and how you want to restructure repayments. Always be thorough with your research. Once you are able to find the right property you want to use your extra funds for, discuss all of these things and what you plan for the future with your lender. They should be involved in the process to help you make the best financial decisions for your plan.

Trusting your hard money lenders is one of the most important factors.

When working closely with anyone on your finances, you want to make sure you trust them completely. Finding a reliable lender will make you feel comfortable asking any questions that you may have and feel comfortable discussing all of your finances. Your lender should be open to answering any questions and should be as helpful as they can throughout the process.

Dennis Dahlberg
Broker/RI/CEO/MLO
Level 4 Funding LLC  Private Hard Money Lender
Arizona Tel:  (623) 582-4444
Texas Tel:      (512) 516-1177
Dennis@level4funding.com NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 Congress Ave |Austin | Texas | 78701

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.

Technorati Tags: commercial loans,commercial lending,commercial mortgage

Alternative Ideas for Helping You Obtain Commercial Loans Through a Broker

Why should you seek an alternative lender for your commercial loans? There are many benefits to going this route — Level 4 Funding explains them here, so read on.

You may think you’re alone if you’ve been rejected for a loan before or if you don’t have the requirements to seek a traditional loan. But there are lots of alternative ways to get approval for commercial loans. Even if you have a few bad marks on your credit history or not the highest credit score, or if it’s a matter to a tough economy making conservative banks tighten their wallets even more than usual, that doesn’t mean you aren’t destined to let a loan. Seeking other loans like short-term or hard money loan are good alternatives. If you talk to a broker about these options, they can help you get the best loan for your needs.

There are some differences between traditional long term commercial loans and short-term and hard money loans. First of all, these types of loans don’t typically require such a lengthy and strict application process, “red tape” and bureaucracy that often takes place with conventional lenders or banks, and longer term loans.

One of the most important things to keep in mind when seeking alternative loan options is that lenders that specialize in these look mostly at the probability that you will be able to pay back the terms of the loan back. However, it’s important to know that interest rates are typically higher with short term and hard money loans – this is because lenders are putting up a higher risk. The good news is that these loan applications often are much simpler and easier to get approved quickly than traditional loans, so you can get the money you need — and get it fast! However, high interest rates are worth it if it means taking your business to the next level. Even though you may have higher interest rates, getting this loan can make all the difference for the growth of your company and taking your company to the next level.

It’s important to meet with a broker to find out if a short term or hard money loan is right for you.

When you meet with them, be upfront about what you need and your business experience or history so that they can best help you get the commercial loans you need. Professional lenders and brokers can offer advice on how to prepare for the loan including what documentation you’ll need to submit. These will typically include your financial statements, credit report, business plan, bank statements (personal and business) and more.

Try not to get too stressed out about getting approval for your loan.

Yes, this is a high-stress situation; however letting your emotions get the best of you won’t help. Try to remember to take it one day at a time. There may be snags and setbacks, but keep your eye on the prize — getting your loan approved to help open or grow your business! There are lots of options so just keep in mind that if there is some rejection along the way, it doesn’t mean it’s the end of road for your business dreams. So find the one that’s right for you and you’ll be on your way to making your business dreams come true.

Dennis Dahlberg
Broker/RI/CEO/MLO
Level 4 Funding LLC  Private Hard Money Lender
Arizona Tel:  (623) 582-4444
Texas Tel:      (512) 516-1177
Dennis@level4funding.com NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 Congress Ave |Austin | Texas | 78701

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.

Technorati Tags: commercial loans,commercial lending,commercial mortgage

How to Ensure Eligibility for Commercial Loans

Can you really increase our chances of getting approved for commercial loans? Indeed there are many ways to improve your odds and Level 4 Funding tells you how.

Commercial loans are important for so many reasons and though they are some of the most complex types of loans, with the right research and “homework,” you can make some real headway to understanding what you need to do to be successful in getting the loan. There are also some things you do to increase your chances of getting approval and ensuring you don’t get rejected, which is more common than you think so if at first you don’t succeed, try and try again!

Finding the right lender is key. Search for a lender with professional experience in the type of loan you are looking to obtain; it’s also nice if they have experience with loans in your specific industry. You want to make sure the lender is one you can trust to advise you on your specific instances as the process can be lengthy and complicated — so trust is an important part of finding the right lender. Start with a lender you may have worked with in the past, but if they aren’t familiar with your needs, it might be a good idea to seek an experts for you kind of commercial loans needs.

Having a lawyer on your side can also help ensure your loan approval success. They can review and advise on documents to ensure everything is in order. If they have experience in your type of loan, that’s even better. Just as with a lender, it’s important that you have a lawyer you can trust to make sure you understand the agreement and everything that you are responsible for.

You’ll want to make sure you can afford the terms in the agreement.

Providing proof or collateral provides lenders with the peace of mind that you’ll be able to make your loan payments or in the case that you aren’t, they will be able to recoup their loses via your collateral. This is certain a way to increase your approval chances.

Having good credit is critical – but it’s not everything.

A few more ways to up your changes of approval include being organized and prepared – knowing what you want and being prepared to show the lender how to intend to make profit back is just as important as those 700+ credit scores. Sometimes it’s just about finding the right lender that really believes in your business dream and truly wants to help you make it possible. Having a plan “B” in place, having all your financial documentation and even having some down payment are also ways to increase your chances. Remember, it’s very common that first time loanees get rejected and that doesn’t mean all hope is lost. There are so many options when seeking commercial loans that you can get creative and find alternative ways to get the finances you need to fuel your dreams! So go for it!

Dennis Dahlberg
Broker/RI/CEO/MLO
Level 4 Funding LLC  Private Hard Money Lender
Arizona Tel:  (623) 582-4444
Texas Tel:      (512) 516-1177
Dennis@level4funding.com NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 Congress Ave |Austin | Texas | 78701

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.

Technorati Tags: commercial loans,commercial lending,commercial mortgage