So after another thread by me in the wholesale forum I got the idea to find HMLs and start doing my own fix n flips. Problem is all of the lenders I’ve found require you to be an LLC or corporation or something, which I am not. Does anyone know of any HMLs that lend to individuals?
Why don’t you setup an LLC?
I am in the works of it but it takes about 30+ days or so from what I’ve been reading and I don’t think I can stall on this deal I’m working THAT long. It has potential to be a 30k flip so if I can find a loan before I have to wholesale this it would have a great outcome for me.
I can’t answer your quest as to HML to individual rather than LLC’s or a corporation. However, I would ask some local attorneys or CPA’s about how long it takes to get an LLC setup. In my state and I know a couple others it can be done in as little as 48-72 hrs.
I must say, that’s a little bit of awesome if I can pull it off in Ohio. Let the search begin.
What’s weird about the LLC or Corp is that a HML should only be interested in Equity not ownership… I would make certain that you never have to give your SS or tax ID number. If you do then they are the wrong type of lender…
Easiest way to find a HMEL is to call the title/escrow companies in your area and ask to speak to the Title Manager… They are the ones who confirms and insures title …
Ask them who the local HMLenders are, they will know them… Reason being is that a HMEL deals with weird situations and need the assistance of a good Title Manager…
BTW most title companies have a Title manager, escrow manager and sales manager make sure youre speaking to the title manager.
Weird! Most of us HML prefer the borrowers to be individuals. If the borrower is a corp or LLC the owner still had to personally guarantee the loan and sign a Pledge and Security Agreement encumbering the company in the event of a default. What state are you in?