Scenario:A lender had limited communication with the borrower throughout the loan term, resulting in misunderstandings and lack of alignment on project goals and expectations.Mistake:Miscommunication led to issues that could have been addressed early on, contributing to project delays and difficulties in loan repayment.Lesson Learned:Maintain open and regular communication with borrowers.

Purchase price: $140,000 Cash invested: $20,000 This was my first home that I purchased back in 2021 when interest rates were still low and competitive.

You should also research your competition and see what people are gravitating too.

Hi James,Yes, there are still hard money lenders that offer gap loans with straightforward underwriting and competitive origination fees, but they are becoming harder to find.

Newer building has seen huge increases in insurance in the past years because of the collapse of the Champlain Towers and hurricanes, but that is over and there is more competition now in the market: I have already seen the cost of insurance going down -8% in the negotiation for 2025 in one building where I sit in the HOA. 

I assume you are referring to 3.5% and 5% down,Well the 96.5% LTV FHA Product is great, it typically offers more competitive rates than the 95% LTV Conventional product.However there are stricter requirements on the property for an FHA product.Speak with a broker who knows what they are doing and they will point you in the right direction.Neither of these products will qualify for 5+ Units however, stick to 1-4 units.

This is particularly important in competitive markets where speed can be a key factor.Risk Management: While there is certainly risk with any form of financing, careful management and choosing the right lender can mitigate these risks.

having market knowledge and boots on the ground in Buffalo as you noted is definitely a plus, but there is just so much competition right now, even for the most distressed assets. 

Typically I work with investors who have a well thought out strategy but sometimes lack information about the Rochester market.

No issues, 65-70% of LTV without any US credit on DSCR Programs.If he has significant down payment, pricing will be extremely competitive.