Exclusive for Smarter Landlording
Finding the Financing
By: Jimmy Moncrief
Since I know Smarter Landlording readers are focused on working “smarter, not harder” I wanted to write about a smarter way to get financing.
When acquiring a property the vast majority of real estate investors spend 99.9% of their time looking property. They make a ton of offers, finally get a property under contract, then frantically scramble for financing.
Does that seem smart to you?
Of-course not.
Here is the smart way to pursue “smart financing”
Have a goal this week of making contact with at least 1 lending institution a day.
Here’s the schedule:
Monday: 2 credit unions
Tuesday: 2 small community banks
Wednesday: 2 regional banks
Thursday: 2 national banks
Friday: 2 hard money lenders
When you call ask for the person that makes commercial loans. Commercial lenders are less restricted by consumer regulations. They will be significantly more flexible. Before you start telling them about yourself. Simply ask them what kind of loans they are looking for.
At the end of the week, you should have a list of contacts for your next deal.
If you want to take it a step forward, go ahead and send them the information they request for a new loan so you are already pre-approved and you know what kind of loan you are qualified for.
Jimmy Moncrief is a bank underwriter and real estate investor. He writes at: http://realestatefinancehq.
He has provided an exclusive report for Smarter Landlording readers: Top 6 Things You can do to Negotiate better terms from Banks: http://realestatefinancehq.
