I went through Robert Allen and since that training I have moved from the D/FW area to Northern California. I am looking mainly in the DFW area and need help/advice with getting a hard money loan for purchase price and rehab costs with no out of pocket (or as little as possible) from me. Got to get the ball rolling as we all needed at some time. I am new to this site as well and thanks in advance. I have all kinds of contacts in the dfw area just need hard money and not have the monthly payments.
Have you check out the list on this site? It’s a great start. You just need to call some that work in TX and get the ball rolling. Probably want to get “pre-approved” if they offer that so you can start making offers. http://www.reiclub.com/hard-money-lenders.php
I did after I posted and will call in my spare time (full time job). Just wandering do all for the most part stick to not buying for less than a 30% discount. How do yall make offers, your own package or just verbal? Mailing, emailing?
first, make no offers in writing, unless you’ve consulted your attorney.
that is an excellent question though.
here on long island, when i talked with a few realtors and attorneys, they talked about the “process” - they outlined “how it’s done” and basically told me that i talk to a realtor, they write up a binder and submit that to seller or sellers agent.
you have to be careful because you’re new, but once you’re an established real estate investor (2 years from now) - you’ll probably be able to submit offers (contracts) to sellers directly.
you can make offers through a letter of intent - outlining your offers with stipulation that it is “subject to a formal contract/partner approval” etc.
it’s funny, when i first started, within 3 months, i was sending out letters of intent with ease. when i realized certain things about doing that, i got scared and stopped…but when i didn’t really know what exactly i was doing - i was like flash gordon.
i miss flash…
what do i mean by this?
it means, analysis paralysis can stifle your ability to look at real estate, make offers and have fun DOING…
all you really need is a really good contract - THAT YOU TOTALLY UNDERSTAND and a working knowledge of rei.
when you get to the point where you think you have a good working knowledge but you’re still not sure - chances are you’re ready!
get the real estate attorney and a CPA who knows real estate - from there - just do it!
best of luck to you and keep in touch!
Not to be a wet blanket, but I’m thinking you may have problems getting a hard-money loan (1) for a property in a state far away from the one in which you live; (2) for 100% of the acquisition and rehab (most of the HMLs that I know want you to have some money in the deal the first time out); and (3) that does not require monthly payments.
If you are trying to do your first deal but have absolutely no cash, you might be better served scouting or wholesaling your first few deals. In addition, pulling off a full rehab as your first venture while still working full-time elsewhere could be a problem.
Have you considered scouting and wholesaling as a means to generate the cash that would let you quit your job and then tackle REI full time?
I have thought about wholesaleing and that is an option. As for out of state getting the work done on a rehab I have a very very close friend that does that and I trust. I will never be doing any work myself. My time is better spent finding the houses and keeping it going once it goes. For my first deal yes it will need to be alot better numbers for me.
We have just missed out on three houses in texas due to the slowness of getting the contracts done from here that were around a 35% discount to tie up the property.
My wife is very familar with the contracts and we do have our own or know what to add to the addendums on others for subject to parnters approve (finding that reos/banks) will not allow them so far, subject to inspections, appraisal, satisfactory repair costs and the list can go on and on to be covered.
I am also a home inspector and have a lot of re knowledge for about 9 years and have a lot more to learn from all and again thanks.