Hard Money Lenders provide a "Pre-Approval"

[Stephanie Simmons]

I am about 2 weeks away from listing my first flip for sale.  It took me 4 months to obtain it - so I am starting now to look at properties (I am investing in a different area).  

I am also looking to refinance my personal residence (and recently came off a 6 week 40% pay-cut at work).  I am reluctant to get a pre-approval on a traditional loan - don't want to mess up the refinance and I more than likely I will have that other property sold; and have cash for this new purchase.

With that said, I want to start looking and placing offers on houses next week that are listed (REOs, etc.) and they won't look at an offer without proof of funds (if there isn't a financing contingency) or a pre-approval with a financing contingency.  

Do hard money lenders provide a pre-approval letter that you can use for this purpose?

[Chris Mason]

Originally posted by @Stephanie Simmons:

I am about 2 weeks away from listing my first flip for sale.  It took me 4 months to obtain it - so I am starting now to look at properties (I am investing in a different area).  

I am also looking to refinance my personal residence (and recently came off a 6 week 40% pay-cut at work).  I am reluctant to get a pre-approval on a traditional loan - don't want to mess up the refinance and I more than likely I will have that other property sold; and have cash for this new purchase.

With that said, I want to start looking and placing offers on houses next week that are listed (REOs, etc.) and they won't look at an offer without proof of funds (if there isn't a financing contingency) or a pre-approval with a financing contingency.  

Do hard money lenders provide a pre-approval letter that you can use for this purpose?

 The paperwork needed to refinance, and the paperwork needed to get preapproved, are the exact same paperwork. And there's no reason for a LO to run your credit again too. Just tell them. Not a big deal, I get this all the time:

"Hey Chris I want to refinance, but if I see a great house I want to be able to write an offer on it too."

Me: "Not a problem. Same paperwork for both. Let's start the refinance, and if your offer is accepted then we'll put the refi on the back burner and close out the purchase first."