No one likes to wait, especially in our society that revolves around instant gratification, instant answers, instant results. Not everything has a super quick turnaround, but loans are notorious for taking a long time to get approved. This can prove extremely frustrating for both borrower and lender, after all – they are there to make your loan application process easier. When you are trying to get commercial loans approved, here are some tips to speed up the process.
Consider the type of lender you want to work with. If you need cash and you need it fast, getting commercial loans via hard money lenders might be your best bet. They have much more lenient restrictions that traditional banks so they can push approvals through more quickly. The drawback to this is that you may end up with much higher interest rates because the return of payment schedule is much shorter as well. But if you weigh your options and speed is what you need, this could be a great — and fast — option.
Another tip for speeding up the process is preparation. Do your homework when it comes to the type of loan you want, the type of lender you want to work with, and then get all your affairs in order — from your current credit score (both personal and business credit history will be considered), business plan, and any other financial documentation or statements that may prove helpful to your loan package. If you don’t know what you need, ask your lender. That’s what we are here for! When you are preparing your paperwork, keep it simple. You don’t need every bank statement you’ve ever received. Just the necessities will be sufficient – the less to muddle through, the better, so keep to just what is required.
However, you also should be prepared to provide other documentation at the lenders request. You want to have your ducks in a row so that you are not stuck waiting for a piece of paper that is required to move forward. Nothing is more frustrating than coming to a screeching halt when you have been making forward progress toward your loan approval. Once again, being prepared is key in moving things along quickly.
Being as cooperative as you can to the lender and anyone involved in the process is beneficial in many ways. First, if you are eager to get the documentation needed, things will naturally move along more quickly. Also, if you are cooperative and helpful, your lender is going to want to return the favor –thus getting your loan application pushed through as quickly as possible. Remember, this can be a win-win solution for both of you so you are working toward a common goal — and it’s easier to work together and work smarter, than harder.
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.