Residential Hard Money Lenders—How to get Approved

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Residential Hard Money Lenders—How to get Approved


Working with Residential Hard Money lenders is not necessarily difficult once you have found your lender. As you may know, residential hard money loans involve a lot less red tape; nevertheless, knowing your way around your lender’s requirements can only help.

Most residential hard money lenders will tell you that getting approved is a walk in the park or a stroll along the beach (if you are dealing with California lenders). But, you should not let that fool you into a false sense of security. In other words, there are requirements and you need to meet them if you want to get that hard money financing for your residential endeavor.

Of course, such a perceptive borrower like yourself knows there are requirements—after all, you are applying for a loan here. But, are you sure you have all your ducks in a row? If you are wondering, what that feeling is you are currently experiencing it is called doubt. Well, the good news is, it is perfectly normal to question if you have everything you will need for those reputable residential hard money lenders. Nonetheless, let us make sure you know how to get approved the first time around.

By now, you know that the right lender can make all the difference, especially when it comes to hard money financing. Thus, if you have not already, find that reliable superstar lender of your dreams as soon as possible. This means doing your due diligence and it also means understanding the pros and cons of hard money financing. Unfortunately, there is no short cut to the lender of your dreams; you absolutely need to do your research. Remember, it is better to be overly informed than lost and in the dark. With that being said, after you feel well informed about your future lender and hard money financing, your next step is to avoid the pitfalls of residential financing.

Avoiding the Pitfalls the first time for a residental hard money lender

The pitfalls of residential hard money financing are nothing to fear, especially when you are prepared. Therefore, you should take the time to evaluate your loan’s terms, condition and time frame. If you feel comfortable with the conditions and terms of your financing, then it is important to make sure you have everything you need to show your lender the potential value of their investment i.e. your future property. This means having a clear budget or plan as well as being able to thoroughly go over any details about the property such location, market history and so on.

Risk Less by being Prepared

Lastly, you can definitely up your chances of getting approved by your lender by having all the necessary documentation on-hand. Typically, this includes tax information (paystubs, W-2s, etc.), bank statements and of course your credit history. Ultimately, there is no guarantee when applying for hard money, but if you do your due diligence, work with people you can trust, stay prepared and protect yourself legally (speaking with an attorney is always advised)—there is no reason you should not be able to secure your financing.


Happy senior business man making his notes at workDennis Dahlberg Broker/RI/CEO/MLO
Level 4 Funding LLC 
Private Hard Money Lender

Arizona Tel:  (623) 582-4444
Texas Tel:      (512) 516-1177
NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 Congress Ave |Austin | Texas | 78701

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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.

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