Your Name:
Your Email Address:
To: (Email)
Email Preview:

Your name saw this post on The ActiveRain Real Estate Network and thought it might be of interest to you. Please see the link below to review the post.

Lending Tools Bridge Dallas Foreclosure Opportunities
The mortgage industry has changed substantially since 2007, when the opportunities for “house flipping” as an investment strategy were widespread. Today, for investors seeking to take advantage of short sales and foreclosures in the Dallas area, those changes are especially meaningful. One of the aftereffects of the subprime mortgage meltdown is the way banks now treat mortgage lending. Every banking organization has developed new approaches for handling foreclosures and short sales, but in the non-distressed portions of their loan portfolios, other changes have become evident, too.
Banks have grown increasingly reticent to lend to investors with multiple properties on their books -- even when the potential buyer has enough cash to pay a significant down payment on the foreclosure, and can otherwise afford to service the loan. Thus the resurgence of “hard money lending”: aka “bridge loans” or “gap lending.”
“Hard money loan” is a harsh-sounding name for a fairly sophisticated lending tool. Less intimidating synonyms are “short-term loans” and “bridge loans.” By any name, they are short-term loans whose funding is based on the value of real estate collateral. The lenders can be banks, but more often are private investment groups. Hard money lenders, recognizing the long-term value of tangible property, are ... more

Are you on The Rain? Grow Your Network!

Spam prevention