Rental Property Investor · Member since 2019 · 105 posts · 121 votes
6y
@Alexander Burkard
These two components dont have to happen in any particular order.
I do both at the same time. Why wouldn't you want to know what you are qualified to buy as you are looking at properties. Why wouldn't you want to know the terms of the private/hard money lenders you are going to work with?
Every deal is going to be different. A trashed property won't qualify for traditional lending, so automatically I start thinking about the hard lending.
If you find a deal reach out to who you would fund it with. Or call a HML and see what terms they usually offer, then when you find a deal run the numbers that they gave you.
Rental Property Investor · Member since 2019 · 25 posts · 21 votes
6y
Kinda depends on what kind of loan you're going after. If it's hard money, I'd find the deal first, as they are much more likely to lend on a deal that makes sense for them. Conventional? I'd get pre-approved because it allows you to create better criteria for what you are searching for.
Rental Property Investor · Member since 2019 · 105 posts · 121 votes
6y
@Alexander Burkard
These two components dont have to happen in any particular order.
I do both at the same time. Why wouldn't you want to know what you are qualified to buy as you are looking at properties. Why wouldn't you want to know the terms of the private/hard money lenders you are going to work with?
Every deal is going to be different. A trashed property won't qualify for traditional lending, so automatically I start thinking about the hard lending.
If you find a deal reach out to who you would fund it with. Or call a HML and see what terms they usually offer, then when you find a deal run the numbers that they gave you.
I'm in Maryland. I just used a company called Hard Money Bankers. They are local and offered tons of insight and the closing was smooth and simple. I'd talk to a couple to compare the numbers and see who's a better fit. The BP marketplace has a bunch on there that you can call.
Specialist · Delran, NJ · Member since 2016 · 2k+ posts · 951 votes
6y
Depends. This question tends to come up most often from people with little experience. What do you think is easier for a new investor: successfully identifying and finding a good deal THEN developing a network and securing a reputable lender in 30 days to close a deal or meeting people, finding reputable lenders and then finding a deal where they have people in place already who can tell them whether it's a deal or not? I've dealt with way too many clients who have found a "deal" only to realize they can't afford it because they think you don't need money to buy real estate.