I have a client in FL who owes me 100k due end of this month…Im holding about 225k (give or take a few k) in free and clear RE…He calls me in advance of the due date and expresses he may need some more time and asks for a 6 month extension…This is the 3rd loan I have done for this guy and he has always been on time and straight forward…So I work my numbers and tell him that it will be XXXX for the next 6 months of interest and points and he should deposit certified funds with my attorney by the end of this month…Point being maybe someone else would look to capitalize on this default…This customer has been stand up with me from day one and I’m not worried…In reality I look at it like its just another loan anyway…Lesson to others don’t hide from your HML…If you are having issues before your due date put in that call and ask for an extension and be upfront…I know I’m a little different because I run pvt money (my own) and not like some of these HML’s…But overall I think being upfront is the best policy…Just wanted to share that…
Classy. Wish renters would behave that way rather than going out to buy a big screen TV before they pay their rent.
Good on you for working with him.