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Tag: "Private Money"

90-Day Funding For Short Sale and REO Flips – Review

guywithmoneyAs you may know, I am actively using and recommend transactional funding sources for short sale flips and REO flips. For the past 3 weeks or so I’ve been inundated with questions about the new “90-Day Funding for Short sale and REO Flips”.  Should you use it?  More in this blog post.


Register now for our private webinar Saturday:

How to Wholesale a Short Sale


1. Know when you need Transactional Funding

Not all wholesale deals need transactional funding. If you can, structure your
deal in a way that will allow you to use your end buyer’s funds to fully fund
the deal and get you paid off on your fee.

Most title companies require you to bring in separate funds when you structure
two closings back-to-back. If you buy the property from the seller (A – B) and resell it
to your buyer (B – C) on the same day, then the funds needed for the A-B closing cannot
come from the B-C closing.

In this case you will need transactional funding. A great source is at
Short Sale Transaction Funding

This source is best if you know what you are doing and don’t need any
additional education or help putting the deal together.

If you do need some help beyond just getting the funds, consider joining
Home Seller Assist This program provides comprehensive education
and training as well as access to the funding source.

2. How Does Transactional Funding Work?

Transactional funding is typically available for 24 to 48 hours. One huge
advantage is that you don’t have to qualify for the loan with these programs.

Not even the property or the deal have to be scrutinized by the lender
(like with a hard money loan).

The only requirement for getting these funds is that the B-C transaction
must be completely ready to close. And that’s not just “we will get docs
any day now”.

3. What If You Need the Funds Longer?

Of course, if you have ever tried to juggle two transactions and make
them close at the same time, you will have noticed that that can be quite
challenging.

Wouldn’t it be a lot easier if you could just hold on to these transactional funds
for a little bit longer? Say, 3 to 120 days longer?

That’s were “90-Day Funding for Short sale and REO flips” comes in. You can take
up to 120 days to resell the property.

But before you jump into that, make sure you understand how this
funding source works!

The program that I have looked at i not a loan program, but rather
an equity sharing partner.

It can work well if you need it for a short period of time, and you are
certain that your buyer will close (but who can be that???)

The main problems of the equity partnering program are:

1. Investor will have to qualify your deal, equity position, LTV etc.

2. Investor takes a large share of the profits, the longer you need the funds,
the more equity you loose to the investor.

3. You can loose the entire profit if it takes more than 120 days
to flip the property.

The share that they charge you can range from about 2 points of the funds,
if you flip within a few days, to about 18 points of the funds, and even
100% of the profits if you go too long.

Summary: While it may be a good theory to make a little less money
if you can save the deal, I would rather focus on deals that you can flip
immediately.

Especially in this market, your risk in any deal that you
need to hold is exponentially larger, and chances are that you are wrong
about the numbers if you can’t flip it, particularly if you are a beginner.

As an alternative, you might also look into finding your own
private lenders. Often, these funds are available at a lower rate
than hard money, and you don’t have to give up your equity


Register now for our private webinar Saturday:

How to Wholesale a Short Sale



Private Money Blueprint – Solution Found

…I just heard that people had some
issues ordering Private Money Blueprint
yesterday because of high demand on
the server.

If you haven’t, try again today:

The Private Money Blueprint may well
be the missing piece to the puzzle of
your successful real estate investing.

There are tons of outstanding deals
in this market. You can grab them if
you can find the money.

So what do you do?

Banks? Only if you have great credit, proof
of income and a solid down payment.

Hard-Money lenders? Most require solid
down payments, too – even if you buy for
50 cents on the Dollar… plus, you
might as well hand over your profits at
the door.

Private Money Lending is the solution
- not only to YOUR needs, but to so
many individuals who need YOU to help
them make their retirement plans work
again by getting them returns that are
better than CD’s and safer than the
stock market.

All you need to know is how to find them,
what to say to them and how to structure
your deals with them.

And that’s exactly what you learn from
Private Money Blueprint.

http://EZ-Private-Money.com/backdoor

Get it today!

See you inside,
Thomas

P.S.: Check out my personal bonus package
that I’ve added to this:

http://EZ-Private-Money.com/blog

.

.

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Best FREE Private Money Sources

“Find Private Money Lenders Easily – for Free!”

Watch the video here, and then click over to get more free stuff at (don’t forget to come back here for my super special bonus on launch day!)

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Private Investor Screening Template

“Download Your FREE PowerPoint Presentation”

Private Money Investors are the key to the kingdom in the real estate recession – well at least one of the keys.

Watch this video to see a review of the FREE Private Money Blueprint PowerPoint that you can use today to communicate with your private money prospects and qualify them to see if they’re a fit for your business.

Watch the video here, and then click over to

PrivateMoney-Blueprint.com <== LINK! to get a bunch of free training on Private-Money-Getting

“Investor Presentation Download” and FREE Private Money Training <== Click Here!


Buy Wholesale Deals With Private Money

“I Want You to Get Private Money”

Because when you have access to unlimited amounts of Private Money, you can buy unlimited amounts of wholesale deals, and make unlimited amount of money in the current real estate disaster.

Watch this video to learn how you can use Private Money, and then head over to

PrivateMoney-Blueprint.com <== LINK! to get a bunch of free training on Private-Money-Getting

“Investor Presentation” and FREE Private Money Training – Click Here!