THE REAL DEAL ON ARIZONA HARD MONEY LOANS

Simply put, a hard money loan is a loan back by the value of the property versus the credit and income of the borrower. The property itself is used as protection against default by the borrower.

Arizona Hard Money Lenders are private individuals that see value in potentially risky ventures that traditional lenders are not willing to risk. These loans are a financing tool that every real estate investor should keep in mind.

Arizona Hard Money Loans have fast loan approvals and funding. Perfect credit scores and income history are not necessary to gain funding on Arizona Hard Money Loans. While conventional bank lenders are known to for their rigid rules and regulations, Arizona Hard Money Lenders are allowed to be more flexible in their loan terms because they don’t have to follow federal guidelines as banks are required to do.

HOW TO GET AN ARIZONA HARD MONEY LOAN

1. Research Arizona Hard Money Lenders in your area. Make sure the lender has a legitimate web site—be sure they will not just collect your information and pass it on to a third-party. Check that the lender doesn’t have any pending or former law suits from investors. Find out what types of projects the lender has financed previously. You want to make sure this lender will be interested in the type of project you are proposing.

2. Evaluate your time frame—Arizona Hard Money Lenders are able to generate funds within two weeks or less. Do you need funding immediately? A hard money lender will make that happen; while a traditional lender can take months to grant the loan.

3. Apply for the loan— Unlike a conventional loan—in a hard money loan you are financed on the collateral value of the property instead of your FICO score. That will require you to present certain documents—such as a detailed budget for construction, repairs and renovations. You will also need to prove the value of the neighborhood and the property—comps are sale prices of the neighboring homes and the lender will need to see those, as well.

4. Check for additional fees—Review the loan terms. Arizona Hard Money Lenders are not subjected to the regulations that banks are, so be sure you are protected legally. Be clear on all fees—if your lender does not disclose any fees that will be included in the loan that is a red flag. Make sure you are given a detailed repayment schedule—this will include how much interest will be accrued and how much of your payment will go towards the interest.

After you choose a Hard Money Lender and are approved it is imperative you move swiftly on your investment.

During the project you will only be required to pay interest. The balance of the loan is due at the end of the loan term. Arizona Hard Money Lenders do not typically impose prepayment penalties. The faster you complete your project—the quicker you can pay off your loan. There are so many benefits to a hard money loan—quick financing, flexible loan terms and asset based backing instead of personal credit history.

Dennis Dahlber Broker Ri CEO Level 4 Funding LLC
Dennis Dahlberg
Broker/RI/CEO/MLO

Level 4 Funding LLC
Hard Money Lender

Hard Money Loans

Hard Money Loan

Arizona Tel: (623) 582-4444

Texas Tel: (512) 516-1177

Dennis@level4funding.com

Dennis Dahlberg Broker/RI/CEO

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 43 years. They have 2 beautiful daughters 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.