Investing in the property space is a growing phenomenon within the United States. With a private money lender on your side, there is little that can’t be accomplished in this arena.
Real property has always been a lucrative investment opportunity. Some of the most successful investors in the world have known this for generations, and it’s perhaps why a property is a favorite among high net worth individuals. One of the most intriguing components of the property market however is the financing that takes place during virtually every transaction. Buyers in the real estate space leverage borrowed capital to make a purchase, and often pump borrowed money into the renovation process as well in order to boost the resale value in search of profits.
Unlike the bond, stock, or cryptocurrency markets, borrowed capital reigns supreme in real estate. Traditional lenders have historically dominated the financial marketplace in the space, yet new opportunities for funding are creeping into the mainstream, making real estate investing a more attainable opportunity for an even greater field of investors.
Pacific Private Money is one stellar name in the hard money and bridge loan game, and many real estate flippers and rental owners are capitalizing on the market with the help of this unique partnership. Pacific Private Money loans are fast and effective; by circumventing the traditional financial institution rules and regulations surrounding lending practices, private money lenders like PPM are able to fund your investment opportunities faster and at great rates.
Property investing is the key to wealth building over the long haul.
With the help of a private money lender, borrowers are able to tap into the energized marketplace that is real estate. Investors here are able to make fast movements that are potentially worth tens of thousands of dollars apiece. Investors in the market often look for fixer-uppers that are listed at a steal. Many property owners don’t have the time, will, or energy to put in the work required to make the home stand out as well as sell the home at a discounted rate in order to move the asset quickly.
Other homes in this condition are bank-owned and the sale price is simply a loss-cutting measure. In these instances, banks don’t work very hard to gain a profit, they simply want to move on from the investment and look for a fast sale. In both instances, speed is crucial to jumping on the opportunity, and a private money lender is the best ally you can have when chasing after profit margins here.
The private money lender structure is different.
Brick and mortar banks are quickly being left behind by home buyers. This is because a traditional financial institution is really just a branch in the larger corporate wheel. Branch managers often try to sell you on a “special rate” or “one time only” offer that they can swing for valued clients like you, but the reality is that corporate structures dictate how and when these banks lend capital to home buyers.
Private money lenders are upending this structure. By working as a private lending company rather than a bank branch, lenders in this space are able to write their own rules, algorithms, or analysis processes in order to grant or deny a loan application. This means that they can use a wider degree of judgment when considering a borrower, and are able to make decisions faster than traditional banks that must send data up the food chain and wait for a response. With a private money lender, you know that you are getting a great deal because the decisions are made in-house and in person.
With a private money loan, there is no corporate hierarchy to hide behind, simply a borrower and lender coming to an agreement on funding this all-important real estate purchase.