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. APPLY ONLINE,(always use the 5 step application)
OVERVIEW
These are asset based loans. A borrower’s credit history and income are less important, decisions are based more on the ability of the individual to meet the monthly interest payments and show the ability and experience to complete a residential rehab. Why hard money?, asset based loans can be creative in assisting buyers who acquire multiple properties in Texas and need to move quickly, sometimes in 3 days if all documentation are 3rd party work is performed. Funding 100% of the borrower's acquisition cost and repairs it is much less expensive for the principal to pay a higher interest rates than to take on a partner or put up to 25% down at local banks and take the extra time traditional banking institutions may require.
HOW
We are direct link to private investors with years of real estate investment experience in Texas. As investors ourselves, we realize how important the ability to move quickly is for many of the opportunistic buys in todays competitive investment real estate market. With good information we are ready to facilitate a smooth and quick process.
REHAB TO RENTAL
All of these loans can be converted into permanent financing for rental properties. We would pre-approve the buyer for permanent financing before the transaction ever proceeds. Talk to us about strategies for REHAB-TO-RENTAL.
DOCUMENTATION FOR HARD MONEY LOANS
- LOAN APPLICATION (DOWNLOAD OR FILL OUT ONLINE)
- PROPERTY EVALATION WORKSHEET(CLICK)
- LIST OF REPAIRS
- DISCLOSURES(APPRAISAL AUTHORIZATION)
Loans minimum $60,000
Loans limited to metropolitan areas in Texas, no rural property.
REHAB LOAN PROGRAM HIGHLIGHTS:
- rehab to rental (see description below)
- cashout (no seasoning)
- purchase to 100% LOAN TO COST
- no limit on number of properties owned
- all income documentation types
| Income /investment property funding - the most important part of your project? |
Investment loans……What is your strategy?
Below is a brief summary of how to finance Texas investment property.
1. The 3 basic sources
Bank (local) financing (typically for short term solutions)
Private/ hard money (again, short term for rehab or quick acquisitions)
Long term financing/mortgages: (for purchase of currently occupied or move in condition properties. We use to refinance bank and private money loans)
2. common problems associated with investment property financing
Some problems you may have faced in the past for investment property loans:
No limit on number of properties
90% cashouts/ stated
seller carried 2nds to 100% CLTV
no landlord experience
no reserve requirements (lender stated you lacked proper reserves)
no job verification
3. Quick analysis of the initial financing decision:
Short term/rehab loan: you need an investment loan to acquire property to rehab
And sell. Maybe you need a loan to secure your investment real estate
To fix and turn into a rental.
REHAB TO RENTAL: Let us show you how to acquire with private money or bank money. Then let us refinance your bridge loan into long term financing for Texas rental property.
Long term financing: You found a property that is ready for renters or is currently occupied by renters. You need to be pre-approved. |
Getting started - Get a pre-approval
What is the difference between
pre-approval and pre-qualification?
The pre-approval process is much more
complete than pre-qualification. For pre-qualification,
the loan officer asks you a few questions and provides
you with a pre-qual letter. Pre-approval includes all the
steps of a full approval, except for the appraisal and
title search. Pre-approval can put you in a
better negotiating position, much like a cash buyer.
Preapproval is almost like a line of credit and if you
are competing against other buyers for a property without
preapproval your offer will be considered before those
without preapproval.
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