Lender Scam Warning - North Carolina

[Rich Jordan]

Hey everybody,

Recently had an alleged lender try to scam me while trying to originate a loan. Nothing came up on google or BP when I searched his contact info, so I'll put it here for any future targeted investors. Interestingly, my agent was recommended this lender via a professional facebook group. Trust but verify, folks.

Lender's email: curtisleonloans at gmail dot com

Avoid this lender.

[Jay Hinrichs]

a couple of take aways for those reading this.

there is NO private money less than about 9% apr and that's for the absolute best and most experienced.. if your starting out it will be above 10 and probably closer to 12%  short term fix and flip product.

you can get rates from a legit mortgage broker bank or other Licensed lender and those rates right now for non owner are about 5.5 to 6... private long term mortgages through bigger HML are at 7 to 10.. this is for buy and hold product.

And lender that says they do 5k to 5 million or  5k to 50 million like I have seen is hands down a phony..  

a lender capable of doing large loans like that would never in a million years fool with a 5k loan right ???

any up front fee other than credit or appraisal is not warranted by any lender unless your doing a large commercial deal where there is a huge underwriting job to be done.. again not with vanilla SFR or small multi.

Of course owner occ variable rate loans can start out low.. but I suspect that's not what you were doing.

these guys prey on those that just don't know what they don't know in the mortgage world and just send in the 870.00 and never hear from them again.. sad but very true.

also if you like American Greed there Is a great episode on Remmington Financial I highly recommend these guys were the king of mortgage fraud and pump and dump due diligence schemes.. they got away with it for 20 years.. 5 to 10k at a crack.. I personally remember talking to them in about 2010 when credit froze..  I had a fairly complicated model I was doing and same thing they approved me to quickly just send in 5k to go to the next level.. I never did.

But my dad showed me these mortgage fraud guys way back in the mid 70s  its been going on for decades.. now its just turned into the Nigerian prince schemes..