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Updated over 5 years ago on . Most recent reply

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Richie Thomas
  • Rental Property Investor
  • Sedona, AZ
141
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258
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Planning to fund via hard money loan- am I a "cash buyer"?

Richie Thomas
  • Rental Property Investor
  • Sedona, AZ
Posted

I'm starting my first direct mail campaign, targeting motivated sellers who are seeking a quick cash sale.  I'm planning to fund my first deal with a hard money loan, through a company like LendingHome or similar.  From this article, I read that these kinds of loans are "very quick to close".  I'm still a beginner, but my understanding is that "quick to close" is the attribute that my target sellers would be looking for, and that they wouldn't perceive a difference between a sale financed by a hard-money loan and one financed by cash in my checking account. 

Is my understanding accurate, or are there important factors I'm not considering?  My goal is to treat my sellers as well as possible, and I don't want to give them the wrong information or present myself in a way that's less-than-honest.

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Wayne Brooks#1 Foreclosures Contributor
  • Real Estate Professional
  • West Palm Beach, FL
13,508
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23,418
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Wayne Brooks#1 Foreclosures Contributor
  • Real Estate Professional
  • West Palm Beach, FL
Replied

No.  Being a cash buyer means you already have the cash on your account when making an offer.  Have you talked to any of these lenders you think you will use to see what their exact criteria are for lending money?

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