How do I get experience without a experience? Chicken or the Egg

[Jason Lewis]

I owned, self-managed, and developed a number of properties before the 2008-2009 real estate crash. I have since recovered and have started and investment group in Chicago,IL. All principals have 700+ FICOs and we have working capital of  $50k. We are looking to do fix & flips in promising areas. We are looking for hard money but because none of us have recent experience, doors keep slamming in our (collective) face. Any advice will be greatly appreciated.

[Joanne Eriaku]

hmm, my newbie experience is that not all HML's are comfortable with newbies but there are those who are ok lending to newbies. PM me for a recommendation of one whom I found. having said that, my advise would be: Before you go to them with a deal, first approach them to understand what kind of projects they typically lend to etc, etc, that way, you have a relationship established plus they give you an idea of how much you qualify for. Here are my business relationship type inquiries to an HML...before I go to them with a deal:

On what types of projects do you typically lend?

How do you evaluate deals? What specific deal information do you need?

What do you need from me personally?

What are the typical terms? Points? What is the Annual Percentage Rate for interest?

Do I close with your attorney/title company or with mine?

What percentage of the purchase price will you loan and will you loan 100% of the rehab costs?

What percentage of ARV will you loan?

If I need to extend the note, can it be at the same terms?

Will you allow someone to be in 2nd position?

Will you give me a POF or pre-qualification letter to submit with my offers?

Do you have any upfront fees or any other fees?

How do you handle draw requests? Is there a few for every draw?