How to Avoid the Pitfalls of Texas Hard Money Loans

Texas Hard Money: the good, the bad, and the ugly

LIKE EVEN THE MOST BEAUTIFUL WOMAN IN THE WORLD, HARD MONEY IS NOT PERFECT. WHILE IT SEEMS SIMPLE – AN ASSET SECURES THE LOAN SO EVERYBODY’S SAFE – TEXAS HARD MONEY IS ONLY ONE OPTION. IT IS EXPENSIVE, SO THINGS HAVE TO WORK ACCORDING TO PLAN FOR PROFITS TO MATERIALIZE. SO MAKE SURE THAT YOUR PLANS ARE CLEAR AND GOOD! TEXAS HARD MONEY WORKS DIFFERENTLY FROM LOANS YOU MAY HAVE USED IN THE PAST. LENDERS USE MORE CONSERVATIVE METHODS TO VALUE PROPERTY THAN YOU MAY EXPECT.

Here’s a few ways to keep things going to plan:

Texas hard money loans are best used to rehab investment properties and sell them for a profit. Everyone likes someone knowledgeable about their job, so do a little extra research and then make offers. Talk to contractors to get a few estimates on what it will cost to refinish and otherwise repair the property. If you head into your lender's office with information on repairs needed, a little history and an estimate of the costs involved, you’ll be that much more likely to get approved.

Also, have an exit strategy. Texas hard money loans are typically short term and usually are 1-2 years in length. The lender always wants to know that the borrower has a solid plan for either selling or refinancing the property long before the term is up. Knowing how you plan to repay the loan is a key factor in a hard money lender’s decision. If you are doing this all willy-nilly, you’re going to look bad in the eyes of everyone and no one wants that.

Being prepared and having a plan are the two best ways to avoid the pitfalls of high interest associated with hard money loans. They also make it more likely that you will be approved quickly and can start on your fix and flip project today! Give us a call at Level 4 Funding if you want to learn more about the Texas hard money loan options available to you!

Dennis Dahlberg
Broker/RI/CEO/MLO

Level 4 Funding LLC
Arizona Tel:  (623) 582-4444 
Texas Tel:     (512) 516-1177 
dennis@level4funding.com
www.Level4Funding.com

NMLS 1057378 | AZMB 0923961 | MLO 1057378
23335 N 18th Drive Suite 120
Phoenix AZ 85027

Is Texas Hard Money Really "Hard?"

You might be new to the term “hard money” and it might sound a little intimidating. Don’t let this scare you. It really isn’t, even though ‘hard money’ sounds a lot harsher than ‘soft money.’

In the world of loans, you may have figured out already that there is soft money and hard

hard money lenders Texas

money. Without going into extensive detail, let’s just say the two are very different. One thing that is different is that Texas hard money is based upon hard assets and not credit score or credit history. In all aspects, hard money is essentially the easiest loan for you to get approved for.

Remember that Texas hard money loans are equity-based, not credit based, so it’s about the assets, not your credit, income, or financial history. It doesn’t matter how bad your credit is. Usually. However, some hard money lenders are going to want more information about you, just to make sure you can repay the loan, however, for the most part, they are more interested in the property you are looking to buy, not your history.

What Kind of Texas Hard Money Loan is Right For Me?

There are a few different types of Texas hard money loans. Of course, the first is a commercial hard money loans. This is for, as you might have guessed, commercial properties, not personal properties.

The second type of loan is a business hard money loan. This is where the loan is based upon the hard assets of a business such as accounts receivables or cash flows. Again, not about credit.

The other (and perhaps most common) is a residential hard money loan. These Arizona hard money loans are usually for individuals or families looking to fix up a property or purchase their dream home.

Please remember that an Texas hard money loan is not a signature loan, or rather, it is not a loan without any assets whatsoever that’s based on credit score, work history, income, etc. If you’re looking for a signature loan, talk to your bank about that because that is not what hard money loans are. The whole purpose of a hard money loan is asking for a loan based on the property you are looking to invest in and getting that loan in a timely manner.

Talk to your nearest Texas hard money representative to see if you qualify for this type of real estate loan today!

Dennis Dahlberg
Broker/RI/CEO/MLO

Level 4 Funding LLC
Arizona Tel:  (623) 582-4444 
Texas Tel:     (512) 516-1177 
dennis@level4funding.com
www.Level4Funding.com

NMLS 1057378 | AZMB 0923961 | MLO 1057378
23335 N 18th Drive Suite 120
Phoenix AZ 85027

How to Stick To Your Reno Budget with Texas Hard Money Loans

How to Keep your budget when flipping homes with Texas hard money

Budgets can balloon quickly on fixer-uppers. If you decide to invest in one, you need a high tolerance for risk, an exit strategy, and an Texas Hard Money loan to help you cover costs. This is the consensus from most home remodeling experts; You can make more money on a really cheap house that you turn into a nice house than a nice house that you turn into a premium house. All those expensive upgrades don’t offer nearly as much return on your investment as fixing a cracked foundation does. For most people, this means hiring workers, or having a lot of help.  The more people you get involved, the more coordination is required. You’ll have to keep very close tabs on plumbers, electricians and handymen — or hire a general contractor (which means a big increase in your budget).  Think local. If you’re remodeling a house in Massachusetts, use clapboard, not adobe bricks. The closer to home you stick for materials, the more experts you’ll be able to find to help you install them.  Don’t overestimate your work. Sure, that paint job looks nice, but is it really worth a $20,000 markup on the property?

OVERPRICING YOUR PROPERTY COULD JUST LEAVE YOU WITH A HOUSE THAT PEOPLE ARE WARY OF BECAUSE IT’S BEEN ON THE MARKET TOO LONG AND WITH A TEXAS HARD MONEY LOAN IT IS KEY TO SELL THE PROPERTY QUICKLY SINCE YOU DON’T WANT TO PAY THE INTEREST ON YOUR HIGH INTEREST LOAN.

Don’t get ahead of yourself. First-time flippers may see dollar signs when they think about buying multiple properties, but problems can quickly turn into bankruptcy if you’re using one house’s equity to pay for another’s repairs. Plus, each home requires attention, and unless you’re quitting your day job — which the experts also don’t recommend for newbies — you will probably have plenty to do for one house without thinking about your next flip.  However long you think the renovation will take and whatever you estimate it will cost, just understand that it will probably be much costlier and more time-consuming.  Nearly every upgrade you skimp on will haunt you, re-modelers warn. From cheap carpet to cheap electricians, quality of workmanship is something that flippers cannot fake in a softening market.

If you do your research and choose your Texas hard money lender wisely, a fix and flip property can be your ticket into real estate investing. Although there are ups and downs in the real estate market, it is has historically been a sound investment and a great way to build your wealth. 

Dennis Dahlberg
Broker/RI/CEO/MLO

Level 4 Funding LLC
Arizona Tel:  (623) 582-4444 
Texas Tel:     (512) 516-1177 
dennis@level4funding.com
www.Level4Funding.com

NMLS 1057378 | AZMB 0923961 | MLO 1057378
23335 N 18th Drive Suite 120
Phoenix AZ 85027

3 Facts You NEED to Know About Private Money Lenders Texas!

The economy has made traditional lenders a little worried about your credit score. Many real estate investors are finding themselves unable to purchase investment properties due to a bad credit score or unfavorable debt to income ratio. If you find yourself in this situation, you are not alone. That’s why Texas hard money loans made by private money lenders Texas are among the best ways to get started flipping that house today, even when you don’t have the credit you once had. With Texas Hard Money loans, you actually don’t need to have perfect or even good credit. Take a look at this three facts you might not have known about private money lenders Texas. 

1. Like we said above, with private money lenders Texas, don’t worry about your credit score. Your lender sure isn’t! Instead of worrying about your credit score, start worrying about what you’re going to do with the house you want to flip! Really, lenders are more concerned about the property you are borrowing against and whether or not you are going to repay the loan, but they judge that based on character. This loan really has nothing to do with your FICO score, so stop worrying about it.
2. You have to be realistic with private money lenders Texas. Why? Because this is a loan, not a gift. Really be honest about how long you think your home renovation project is going to take and be up front with your lender. For example, do not say you will only take a month if you know it will take three. That would be bad faith and give you a bad reputation. Plus it could end up costing you a lot extra in interest and penalties. Give yourself enough time to pay the loan off. If you find that your project is taking longer than you anticipated, ask for an extension on your hard money loan. 
3. One last tip is that hard money loans really aren’t as expensive as you think they are. This is especially true if you can make your turn around time on your home investment quickly. The loan does carry a higher interest rate, but it is meant to be a short term investment that can help you and your lender make money fast. It is a win-win solution. 

Dennis Dahlberg
Broker/RI/CEO/MLO

Level 4 Funding LLC
Arizona Tel:  (623) 582-4444 
Texas Tel:     (512) 516-1177 
dennis@level4funding.com
www.Level4Funding.com

NMLS 1057378 | AZMB 0923961 | MLO 1057378
23335 N 18th Drive Suite 120
Phoenix AZ 85027

Benefits of Using Texas Hard Money For Your Investment Property!

Texas Hard Money

Looking to rebuild your home to make it exactly what you want? Or maybe to flip a home and sell it for a profit? Have you already looked into traditional bank loans and have been told to look elsewhere? It might be time to consider new options like a Texas hard money loan.

Why a Texas hard money loan? Easy- you don’t have to worry about your credit score. Nope. Not one bit.

How is that possible? Let us tell you: hard money lenders base your Texas hard money loan entirely on the value of the property you have, not based off of the credit you may or may not have. Big sigh of relief, right? That also means that a Texas hard money loan is just about the most simple loan you can get. A Texas hard money loan is also the fastest loan you can get, hands down.

There is one thing to keep in mind, however, and that is that Texas hard money loans are more expensive than your traditional loan, however, they area also faster you’re your traditional bank loan. So just about as quickly as you are able to qualify and you’re your paperwork done, you will have cash in hand, and that says a lot. It means you can start working on your dream right away. In far less time than it would take for a traditional loan, you will have money from a hard money lender Texas.

It’s important to also realize that on average, most hard money lenders Texas are going to be asking for twenty percent of the purchase price of the property. While, as we said, this is really the average, more than likely, you will get 50 to 60 percent of the true property value and you can do so much with that. Good luck. Start making money with Texas hard money loans by calling us today!

Dennis Dahlberg
Broker/RI/CEO/MLO

Level 4 Funding LLC
Arizona Tel:  (623) 582-4444 
Texas Tel:     (512) 516-1177 
dennis@level4funding.com
www.Level4Funding.com

NMLS 1057378 | AZMB 0923961 | MLO 1057378
23335 N 18th Drive Suite 120
Phoenix AZ 85027

Make Your Dreams Come True With Private Money Lenders Texas!

To be honest, your options for loans are more limited now and this goes double for people who don’t have great credit. It means that if you want to rehab the home of your dreams, you have to start thinking about private money lenders Texas.

Private money lenders Texas are for the average investor looking for a property with very little money but a very big dream. If you have the drive to do what it takes to get the job done, then hard money lenders Texas is what you need to start looking into so you can get started sooner rather than later.

Banks have new regulations that make it harder to get the money you need to turn the property that you want. The banks that used to give out the money needed to make your dream a reality aren’t in the business of trusting people anymore, and frankly, who can really blame them? The financial landscape has changed for the worse drastically. That doesn’t mean that people with a solid foundation for hard work don’t exist, however. But their credit scores might not be what they ought. That’s what makes it difficult. That’s why Arizona hard money exists.

Let Texas hard money help you get back the dream. You don’t need a fantastic credit score when you ask to invest with private money lenders Texas. All you need is great character and drive. Texas hard money exists to give you another chance in this market where a lot of people are really struggling to make ends meet. Private money lenders Texas really want to see you succeed. We, additionally, cut out the difficult paper work and the long wait for your money, so you can get started on your dream faster. Texas hard money lets you begin creating your beautiful home almost immediately. Don’t hesitate to look into Texas hard money.

Private money lenders Texas will work with you to purchase your dream investment property. Stop letting banks win. Use your money to make money and your dreams come true!

Dennis Dahlberg
Broker/RI/CEO/MLO

Level 4 Funding LLC
Arizona Tel:  (623) 582-4444 
Texas Tel:     (512) 516-1177 
dennis@level4funding.com
www.Level4Funding.com

NMLS 1057378 | AZMB 0923961 | MLO 1057378
23335 N 18th Drive Suite 120
Phoenix AZ 85027

BFFs: Texas Hard Money Loans and House Flipping

Hard Money Loan, Texas

Chances are, if you are on this site then you have wanted to build your dream home for forever or you’ve wanted to flip some property for quite some time. What stopped you? The economy stopped a lot of people, but that doesn’t have to be the case anymore. Forget stressing about your credit. If you thought that having good credit was the only way you would ever do the renovations you always wanted then you are wrong. You have other options. And that’s where hard money lenders Texas come in.

You no longer need to worry about your FICO score because hard money lenders don’t look at your credit. In fact, in truth, they don’t really care what your credit score is. They base your Texas hard money loan entirely on the value of the property you have and the character of the person they deal with. In the end, not only is a hard money loan the easiest kind of loan to get for your property flip, but it’s also one of the fastest kind of loans you can get.

You should remember though that while Texas hard money loans are easier to get, they are also more expensive than your traditional loan. Meanwhile, as soon as you quickly qualify for your Arizona hard money loan, you are already so close to starting on your dream home. Paperwork is a breeze and soon, you will have your hard money lender Arizona loan.

So to recap, your Texas Hard money loan is great when it comes to flipping a property or creating a home that you love for your family to live in. A Texas hard money loan is made by private money investors in Texas is just simply the best way to finance your new renovation project. Hard money lenders make it possible to do everything you wanted to do even when you didn’t think you could.

Dennis Dahlberg
Broker/RI/CEO/MLO

Level 4 Funding LLC
Arizona Tel:  (623) 582-4444 
Texas Tel:     (512) 516-1177 
dennis@level4funding.com
www.Level4Funding.com

NMLS 1057378 | AZMB 0923961 | MLO 1057378
23335 N 18th Drive Suite 120
Phoenix AZ 85027

How to Know if a Hard Money Lender Texas is Right for Flipping Your Property

Hard money lender Texas

Texas hard money loans are based purely on the value of the house, home, or property that you want to flip or fix up. It’s as simple as that. For every home renovator worried about their credit (so, all of them), know that a hard money Texas loan is definitely the way to go. Private money lenders are definitely the best way to get what you want faster than your traditional bank loans.

Need more convincing? In addition to hard money Texas lenders loaning money based entirely on the value of the home that is being used as collateral, these Texas hard money loans are also insanely easy to qualify for.

Additionally, as you will find out, a hard money lender Texas loan is also the fastest loan you can get. From property appraiser to signing papers to beginning your project, an Arizona hard money loan is the fastest kind of loan you can get, which means that your project gets to start sooner rather than later. Hello, new kitchen! Goodbye loan fears.

Keep in mind, however, that Texas hard money loans are much more expensive than your traditional loan. Meanwhile, as soon as you quickly qualify for your Texas hard money loan, you are basically halfway to starting on your dream home. You can begin paperwork and in far less time than it would take for a traditional loan, you will have a money from a hard money lender Texas.

Texas hard money loans are great when you are flipping a property to create a home property that is worthy of a great owner. That is because when you’re in the property you’ve borrowed against for less time than say, if you were living there, then the added interest rate of 10 to 18 percent from the hard money loan won’t irritate your profit margin that much, so you can still make a fantastic profit.

Dennis Dahlberg
Broker/RI/CEO/MLO

Level 4 Funding LLC
Arizona Tel:  (623) 582-4444 
Texas Tel:     (512) 516-1177 
dennis@level4funding.com
www.Level4Funding.com

NMLS 1057378 | AZMB 0923961 | MLO 1057378
23335 N 18th Drive Suite 120
Phoenix AZ 85027