Anderson Business Advisors Podcast
Anderson Business Advisors Podcast
Hard Money Loans For Real Estate Investors
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Hard Money Loans For Real Estate Investors

Why use your own money, when you can use someone else’s to invest in real estate? Become an informed investor. Today, Clint Coons of Anderson Business Advisors talks about hard money loans (HMLs) with Albert Bui, mortgage planning specialist at Avenue One Capital. 

Highlights/Topics: 

  • Loan Types and Trends: Percentages and prices for conventional, portfolio, commercial, and hard money loans 
  • Hard Money Loan Issues: Shortage of contractors and property doesn’t sell quickly 
  • Tradesmen/Contractors turned Cons: Sell a bill of goods and require money upfront before rehabbing properties 
  • Project vs. Profit: Project must be completed before interest rate hikes and profit loss
  • Experience-based Product: How many exits out of hard money? 
  • Exit Options: Plan ahead by considering assets, income, and credit to decide whether to sell, refinance, rent, or lease
  • What’s the difference? Some say, ‘pre-approval’; Albert says, ‘purchasing power analysis’
  • Qualifying for Loans: How much income do you expect to make and from what sources?
  • Credit Card Debt: Everything you charge, changes debt into income
  • With/Without Tenants: Use portion of rent to offset mortgage; qualify with your income
  • Lender Qualifications: Level of service and time they’re willing to spend with you
  • Terminology and Questions: What type of investors do you work with? How many real estate investors have you worked with? Are you a real estate investor?
  • Three Legs of the Stool: Credit, income, and assets/cash 

Resources

Albert Bui at Avenue One Capital 

Albert Bui’s Phone: 949-514-5106 (California) or 425-951-5300 (Washington)

Albert Bui’s Email

Form W-2

Federal Insurance Contributions Act (FICA)

BiggerPockets

Fannie Mae

Freddie Mac

Federal Housing Administration (FHA)

U.S. Securities and Exchange Commission

InvestorIQ

Clint Coons

Anderson Advisors

Anderson Advisors Tax and Asset Protection Event

Anderson Advisors on YouTube

Full Episode Transcript:

Clint: Welcome, everyone. Hi, it’s Clint Coons here with Anderson Business Advisors and this is another edition of our weekly podcast. This week, what I thought we would talk about is lending because I know many of you who are listening on this are dealing with lenders because you’re out there buying real estate, we have to it’s part of the game. I mean, why use your own money if you could use someone else’s money to put the deal together.

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