Hi Ted, I hope I am correct, but you use dhlc.com correct?
If so I am considering using them, as they operate in CO as wall as TX. Could you explain there process to me. (ie, how much money will I need out of pocket for closing etc., applicattion process, do I contact them before using the pre qual letter on there site. I need to start making offers, but would like to know how to work with them.
I have an application pending with them. From what I understand you may use their letter before submitting your loan request. It may be smart to talk to Jason or Rob at least send them an email with some info about yourself. The loans are subject to inspection and appraisal of the property before and after rehab. I feel confident they can close deals. Rob used to post answers and suggestions here quite often. He may have gotten too busy helping others with financing.
Their ad says 100% but 100% of what is not clear. I would plan on at least 10% to cover closing costs and points and maybe more for some interest payments during construction. I have had HML’s roll some of this into the loan if the appraised value is high enough but not all. The last deal I did with another lender I had to put up 5 % and they paid the costs and 4 months payments out of the loan proceeds.
Make some offers and get a deal going with them or any lender of your choice. Good luck