If you are like most first-time borrowers, you may have asked yourself, why California has so many hard money lenders? California lenders of hard money are so popular, if you will because they understand the vital role they play in making people’s business and real estate dreams come true—plain and simple.
Once you embark on your general lender search, you may be surprised to find so many hard money lenders. California, in particular, has a wealth of hard money lenders. California being the place where dreams often come true, however, does not have a lot to do with the large quantity of lenders. The real reason you see so many lenders who offer hard money financing is because these lenders are in high-demand.
Hard money lenders are in high demand because traditional lending institutions in recent years have become more and more regulated, which means they have become more likely to turn borrowers away. Nonetheless, this does not mean traditional lending institutions are impermeable rather it means they are extremely selective in who they approve. Thus, many small business owners, startups, first-time flippers and so on have felt like they are fresh out of luck when it comes to financing their dreams.
Consequently, the hard money market saw a real opportunity to help countless people move forward with their ventures. Moreover, with so many niches and flexible options, these particular lenders have been able to hone in on their specific skills and strengths. Of course, at this point, you may be wondering. What exactly are those specific skills or roles that make lenders of hard money so vital? Well, let us go over the general role of these lenders as well as lenders in general.
Lenders often handle a variety of important component of the lending process. For instance, lenders are often the individuals who are creating your loan packages and ensuring that the right documentation is included. Moreover, lenders assist in the title ordering as well as other processes such as verifying payoff, appraisals, providing disclosures. Your lender should also take the time to help you find the best hard money financing program and walk you through all the details. In addition to all these roles, your lender can also help you with the underwriting process, finding investors, matching you with the right investor, finding the reputable loan servicers along with loan-doc creation and managing the closing. Thus, as you can see, your lender has his or her work cut out for them and it does not stop there. As briefly, suggested, your lender can also help you in specific areas that pertinent to your particular industry and venture or project.
The Real Deal
Ultimately, your lender should be the real deal. In other words, you should be able to expect these things, especially if you are working with a seasoned California lender who offers hard money financing. If you are not working with a California lender that does not mean you are at a disadvantage. Remember, at the end of the day, you need to find a lender that is right for you.
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.