All Forum Posts by: Alex Correa

@Jon Huber Looking forward to next event. Thanks for invite

@Whitney Whitfield Hard Money lenders are not in business to foreclose on properties. 

@Whitney Whitfield Hard money gives you the opportunity to obtain the property now without looking at your credit. When applying for a more permanent loan they would look at your credit as well as your income and DTI. First step I would take is make sure your income is there and DTI is there. I would start working with a lender as of now. We do hard money loans but our credit provider has tools where we can stimulate changes to see what score would be. I would strategize changes to get your score where the lender needs it to be. You have 1 year to get it there. We have been able to get scores from 550 to 650 within a few weeks with a borrower paying down about 2,000 in debt. Not that hard to do.

@Nick Zocher We recently did a deal like that. In theory ours was more of a foreclosure bailout loan. We acquired the property and then did a lease purchase back to the borrower. The value for property was only $200,000. I dont see anything wrong with it because we became the landlord and the resident is now a tenant. We do have an exit strategy and properties at $200k are flying off the shelf right now anyhow. I would be a little more careful with $1,000,000+.

@Matt Henry We lend to new investors all the time and there are plenty of hard money lenders that don't require experience. It may be the deal itself or how much money you were bringing to the deal.

@Frank Boet Just curious. I have an investor who I do hard money loans that is buying only in Allapahtah right now. He is stating the area by Jackson High School is being demolished and going up. I havent ben able to find anything concrete to support his theory but I have seen some new construction going on last few months but it's Miami where aren't you seeing construction. What are your thoughts?

@Yasser Narvaez There are properties for alot less. 100k is out of your budget right now let alone 300k. How much down payment you need really depends on how you strcuture the deal.

@Stephanie P. We broker sometime through LH as well. Some states we don't lend in and LH gives us an option to assist the borrower. However I seem to have alot of issues with thier valuation system. They always seem to come back drastically lower than what's expected.

@Josh Miller If I were in your shoes I would do the following. 

1) try and refi to buy them out. Your profit would essentially be reduced because now you have a mortgage but it's not like you are keeping 100% of the profit anyways. Keep in mind that you would now have a mortgage well over $3,000 and your rents would have to increase. A 6 unit would also be treated as commercial so LTVs for financing may be a little lower.

2) Convince them to be silent partners and let you do deal with the property which it sounds like they are already doing anyways

3) Sell and cash out. Now you have deposit money to start your real estate career elsewhere. $260 if used correctly can do alot. This is what I personally would prefer.

@Carlos Rovira We got creative with a borrower once and were able to offer a hard money line of credit. Not sure if that would work for you.

@Account Closed We do them all the time. It relatively easy to do if the borrower is going the hard money route. The US Patriot Act would require the borrower to show a copy of thier passport and valid visa along with US bank statements. Now getting a 30 year foreign national loan is another story. Also expect the borrower to put down around 30%. PM me if you have questions.