How Do Brokers Source Unique Lenders?

Question

Hey everyone!Asking because I'm at the beginning of my real estate journey.Finding the right lender can be tough—especially when the deal requires creative or highly tailored financing for the investor.How do brokers or consultants source these lenders if they don’t already have personal connections?Asking because I'm at the beginning of my real estate journey.Thanks in advance!Ron

Mike Klarman · Answer

There's sites that offer indexes of lenders.  The big box, cookie cutter lenders that prefer the 1 - 4 properties with loan amounts under 500k are readily available and out there.  The speciality lenders are a bit harder to find.  If you are looking to do a standard fix and flip with a loan amount of 250k then your options for lenders are long.  If you want to do a purchase of a 5 unit building that has an empty lot attached with a broken down home on it and you wanna subdivide the lots and build on one and rehab the other, then the options shrink dramatically.  There's just so many lenders/brokers out there that lots of the options you're looking for you will never find.  they are either buried in the search results or not there.  When I was opening my commercial business, it was hard to find out who were the lenders for a 10 million commercial bridge loan with rehab. Those guys are not so front and center.  Lots of calling lenders, poking.  Calling brokers, poking.  Seeing if you can get an investor on the line who closed some 10 million dollar ground up deal for 40 unit building and ask them who financed it.  I always use the phone when i want intel.  I call and call and call and ask questions and right out sometimes ask someone who their out is.  Sometimes they give it up.

The Roc Capitals, Kiavis, RCN Capitals of the world are easy to find.  Those three right there finance half the residential bridge loans in this country for the 1 - 4 properties.  Either directly or through brokers.  It's much harder to find the Socatra Capitals of the world or the Loan Streams of the world.  Capital Connect and Lynk Capital too.  These lenders that will do the luxury ground up, or the bridge loan on a 50 unit building, a 10 million refi on a commercial mixed use building.

I'm working on a Restaurant deal right now.  First one ever for me.  a 6 million dollar purchase with about a 1 million in "rehab" which is really design work,  The structure is fine.  They are putting in a high end steak house, there's a famous R&B singer involved.

I have a contact to wall street and this guy raises money for RE deals, privately.  It's not cheap, but it's not so restrictive.

Deborah Wodell · Answer

Brokers and consultants usually build their lender network over time through a mix of industry events, referrals, online platforms, and by working directly with lenders on past deals. Many also join investor groups, attend conferences, or subscribe to lending databases. The key is vetting those lenders and understanding what types of deals they prefer (e.g., fix & flips, buy & hold, new construction, etc.).

If you're just getting started, connecting with an experienced broker who already has those relationships can save you a ton of time and help you find better terms tailored to your deal.

Katie Smith · Answer

Hey Ron! Curious to hear more about what you’re looking to do. Real estate investing can go a bunch of different ways, so having the right people around you makes a huge difference.

Definitely start by finding an investor-friendly lender, agent, and title company—people who actually understand investment deals and aren’t just used to traditional homebuyers. It’ll save you a ton of time and hassle, and they’ll know how to help you structure things the right way.

The more your team understands your goals, the smoother things will go. Let me know what kind of deals you’re after or what market you’re in—I might be able to point you in the right direction!

Chris Seveney · Answer

Network Network Network. IT takes a long time to build relationships in this space - as a lender what we attempt to do is make the process as painless as possible. We try and underwrite things quickly, ask questions upfront and ask for all we need upfront not in pieces.

Then its a yes or no, we do not string people along.

The other avenue is with fix and flips and draws. How do you manage and handle the draw process - since I was in commercial project management I have done thousands of draws so we have it down pat -but again, make it easy for the borrower and not string them along.

Note: Easy does not mean give anyone a loan.

Patrick Roberts · Answer

Pretty much this, with a little bit of deliberate networking sprinkled on top.

Erik Estrada · Answer

Once you're already in the industry, and actively working these unique scenarios, the lenders will fall in place lol

Ron Amshalom · Answer

Thanks a lot!Sent you a direct message :)

How Do Brokers Source Unique Lenders?

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