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Private Money Lending Blog

Corey Curwick Dutton

By Corey Curwick | Mortgage Broker
or Lender in Salt Lake City, UT

Great Real Estate Financing Ideas for 2013

Are you actively buying and selling real estate? Here are some helpful financing ideas for 2013:

1.     Use hard money loans to do 4 deals at a time – If you want to be a full time real estate investor, you’ve got to be doing 4 deals at a time. This is hard to coordinate with all of your own, private cash. In order to continuously float 4 deals, you should use hard money loans to spread out your cash.

2.     Get a reliable list of hard money lenders – private money lenders have to be readily accessible when good deals arise. Know how long it takes each one to perform, so you can tailor each deal with a different lender in mind.

3.     Build a resume to obtain a bank line ofcCredit - Once you have 10 deals under your belt, (particularly when using hard money financing) you can take your resume to the bank and ask for a line of credit. Because you’ve shown loans on the properties that have been paid off in a short amount of time, this gives you even more credibility in the eyes of your banker.

4.     Cash in some stock and put it into real estate deals – Enough said.

5.     Form your own REIT – Most of a REIT's gross income must come from real estate income such as rental income. Form a REIT where you choose the properties and other investors finance them by investing in the REIT. Because the formation and operation of a REIT involves many complex legal, securities, and tax rules, you ought to seek advice from attorneys and accountants before beginning the process of forming a REIT. 

6.     Make “Gap” Loans out of your SEP IRA - Make loans to other real estate investors out of your SEP IRA and provide gap financing on their good deals. This way you can still get a percentage of the profits.

Many people are worried that January 2013 will lead to tighter times in lending. If you need a last minute loan, submit a short form on our website today and let us get your loan closed before the end of the year. Go here: http://privatemoneyutah.com/loan-request-form/. 

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