Monthly Archives: May 2019

Can You Really Make a 12% Return with a Trust Deed Investing?

May 28, 2019Uncategorizedbigdaddydennis

Banks give you crumbs now and the stock market can be volatile, so many are turning to Trust Deed Investments to make a nice return on their money. How does it work and how much can you expect to make? Let’s take a look.

Figuring out the best place to put your money can be a challenge. You want your money to work for you but you don’t want anything too volatile. These days, the average interest rate for banks clocks in at under 1%. With the rate of inflation, you’ll lose money using this route. The stock market can be a good bet but without constant vigilance and a solid plan, you can end up losing everything.

What if I told you there was a way to invest in real estate without actually investing in real estate? It’s called Trust Deed Investment. It’s been around for a long time but doesn’t get a whole lot of press. With this type of Investing, you can enjoy the healthy returns of real estate without having to get involved with finding, buying, fixing or selling real estate.

What is Trust Deed Investing?

Here’s how it works in a nutshell. A buyer gets a loan to buy a property but doesn’t use a traditional bank but instead uses an asset-based loan. The borrower agrees to pay back the loan and the lender holds the deed to the property that’s securing the loan. If the borrower fails to live up to the terms of the loan, the lender can look into that property to recover the money.

Now, you can be the lender and work directly with the borrower to set up terms. However, most investing is done through a “middle man” who does the legwork of the lending. As the investor, you would just look at the opportunity this middle man is offering, make your investment and collect your payments. The middle man may take a small fee, but that is typically paid by the borrower. By dividing things this way, you reduce your risk, the lender has funds to lend and the borrower has funds to use in their real estate endeavor.

How Much Can You Make from Trust Deed Investing?

At Level 4 Funding, we bring you opportunities for Trust Deed Investing. Your rate of return can vary between 9% and 29%, but the usual rate is 12% for 1st Trust Deed (meaning you’re in the first position to get paid). You can take your payments in nearly any schedule that works best for you. So how do you get started? Give us a call or fill out the form on our site and we can talk about how you can start your Investing.

Dennis Dahlber Broker Ri CEO Level 4 Funding LLC
Dennis Dahlberg
Broker/RI/CEO/MLO

Level 4 Funding LLC
Hard Money Lender

Hard Money Loans

Hard Money Loan

Arizona Tel: (623) 582-4444

Texas Tel: (512) 516-1177

Dennis@level4funding.com

Dennis Dahlberg Broker/RI/CEO

About the Author: Dennis has been working in the real estate industry in some capacity for the last 40 years. He purchased his first property when he was just 18 years old. He quickly learned about the amazing investment opportunities provided by trust deed investing and hard money loans. His desire to help others make money in real estate investing led him to specialize in alternative funding for real estate investors who may have trouble getting a traditional bank loan. Dennis is passionate about alternative funding sources and sharing his knowledge with others to help make their dreams come true. Dennis has been married to his wonderful wife for 43 years. They have 2 beautiful daughters 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.

How to Use a Commercial Arizona Hard Money Loan to Start a Cannabis Business

May 28, 2019Uncategorizedbigdaddydennis

There’s no question about it — cannabis the nation’s next (and current) big boom industry. The stakes are high and so is the buy in, but that doesn’t mean you can’t cash in on this massive trend with a commercial Arizona Hard Money Loan.

Cannabis is becoming big business. That may be the understatement of the century. According to Statista, medical marijuana alone made $4.5 billion dollars in 2018. Impressive right? Wait for it; the same statistics group estimates that medical and recreational marijuana will bring in a combined $37.3 billion by 2024. That’s just five years away. And CBD, the non-psychoactive mood aid? Rolling Stone predicts sales will hit $22 billion by 2022.

Let’s throw even more numbers at you. Since recreational marijuana became a thing not that many years ago, some 28,000 cannabis businesses have popped up around the country. The average price for an ounce of marijuana in the U.S. is $320. In California, a little over 23 people per 1,000 are medical marijuana patients.

You get the idea; cannabis, CBD, and medical marijuana is a good business to get into if you want to ride this wave. But how do you go about getting funding for one? Let’s take a look at your options.

Getting Funding for a Cannabis Business

You could go through the bank and get a traditional bank loan. Rates will be low, but many banks are more conservative and reticent to get into what they perceive as a legal gray area. Even if they’re willing, you need a stellar credit score, amazing credentials and a spotless history.

Commercial Arizona Hard Money Loans, on the other hand, would be secured with collateral, so your scores, numbers and financial history are less important. Still part of the equation, but less so than the banks. Approval can happen in a day and funds can be yours in as little as a week.

Using Level 4 Funding for a Commercial Arizona Hard Money Loan

I not only have years of experience in the commercial Arizona Hard Money Loan business, but I’ve also had years of experience in the cannabis industry, working for grow houses when things were just beginning to take off in California. Let me put that expertise to work for you — give me a call today to talk about starting your cannabis business!

Wish You Could Create Passive Income? Try a AZ Hard Money Loan to Start an Airbnb

May 28, 2019Uncategorizedbigdaddydennis

It’s everyone’s not-so-secret desire to generate income that doesn’t require clocking in and out at a miserable job. For some, Airbnb can provide that passive income boon and even people with not-so-great credit can do thanks to Arizona Hard Money Loans.

Make no mistake, we are living in the era of the gig economy. Gone are the days of working for one company your entire life and retiring with a gold watch and a goodbye party. People are taking jobs on TaskRabbit, driving for Uber and watching people’s dogs on Rover. The undisputed king of the gig economy, though, is Airbnb. People can turn their rental properties into high-end vacation rentals or even transform their basement or mother-in-law suite into a money-making juggernaut.

Travel + Leisure magazine reports that some people are making more than $10,000 a month with Airbnb and, while that’s at the high end of the spectrum, the average monthly take for Airbnb hosts is $924. While that’s not going to pay all the bills, it’s a healthy chunk of change that’s fairly simple to make.

Overcoming the Obstacles to Airbnb Hosting

Here’s the one caveat — in order to have an Airbnb, most people need to purchase a property, rehab a property and/or do some upgrades to a property to get it ready to rent out. You can use a traditional bank loan, but if you’ve got bad credit or a questionable financial past, you probably won’t get past their stringent gatekeepers.

That’s where Arizona Hard Money Loans for Airbnbs come in. These loans use private money and are secured by collateral (usually a property). Because they aren’t as heavily regulated, you can usually get one, even if you’d had some issues or your credit score isn’t perfect. And, these types of loans typically come in quickly so you can get started with a renovation and start making money as soon as possible.

If you’re buying a property to rent out, hard money might be perfect as a bridge loan until you get conventional funding. If you just need to do a rehab, you can use hard money and then pay it back quickly using the Airbnb rental money.

Getting a Hard Money Loan for an Airbnb in Arizona

Ready to start earning relatively passive income on an Airbnb rental here in Arizona? Here at Level 4 Funding, we offer Arizona Hard Money Loans with highly competitive rates, flexible terms and decades of experience in the business. Let’s talk about how we can help you make this extra income a reality — give us a call now!

Some Advice for Increasing Your Chances with Commercial AZ Hard Money Lenders

May 27, 2019Uncategorizedbigdaddydennis

Applying for any type of loan can be daunting, but commercial loans can be even more nerve-wracking. That’s why we’ve decided to devote a post to helping you get prepared for dealing with commercial Arizona Hard Money Lenders. Let’s get to it.

Let’s face it — no one enjoys applying for a loan. It’s just one of those necessary evils you’ve got to pass through to get the funding you need. Thankfully, there are a number of ways you can make the process as quick and painless as possible. Let’s look at a few here:

Know your stuff. In other words, come in prepared. Have a budget. Know how much you’re going to need and add a cushion to it. Check out comps. Factor in incidentals. Add in fees, insurance and all those little things that can bust your budget. Consider emergency plans.
Use your experience. If you’re going in for a loan so you can buy a property and rent it, it helps to show the lender that you have experience managing a property. If you’re doing a fix and flip, you’ll want to bring up instances where you’ve successfully rehabbed and resold a place for a profit in a reasonable time frame. If you want to build a property, it’s helpful to have experience as a builder or working with builders.
Be liquid. Lenders want to see that you’ve got some liquidity. If you have to scrape together every penny you have to muster the down payment, you may not have the cushion to make payments if an emergency arrives. This varies by lender, but most like to see anywhere from 10% to 20% liquidity.

The Number One Thing That Makes Commercial Loans Easier

The best thing you can do to make your loan application process easier? Ditch the banks. Going through the banks means jumping through countless hoops, burying yourself in paperwork, and waiting weeks on pins and needles to hear back. Commercial Arizona Hard Money Lenders, on the other hand, are much easier to work with. You come in with a plan, a bit of experience, some liquidity and a viable asset and you may walk out with a loan. There’s minimal paperwork and you can get approved in a matter of a day.

Commercial Hard Money Lenders in Arizona

Now that you know what you need, you can sit down with a commercial Arizona Hard Money Lender in Arizona to fund your next warehouse, multi-family, office or industrial real estate project. Level 4 Funding offers commercial loans of up to 90 LTV, super fast processing and terms from three to 60 months. Call us today to get started!

Why Many Arizona Hard Money Lenders Don’t Do 90% Arizona Hard Money Loans and We Do

May 27, 2019Uncategorizedbigdaddydennis

Some Colorado Hard Money Loans out there just draw a red line and refuse to do 90% Arizona Hard Money Loans, regardless of the circumstances. Here’s why we’re different.

Before we unwrap this headline, let’s get one thing a couple things of the way because some of you may be wondering what a 90% even means with a Arizona Hard Money Loan. Others might even be wondering what a Arizona Hard Money Loan is. Here’s the quick version for both:

Texas Hard Money Loans are loans that are secured by collateral and use private funds, which allows them to exist somewhat outside the traditional lending system.

When we talk about 90%, we’re discussing 90% loan-to-value ratio (LTV). Loan-to-value ratio is the value of the loan you’re asking for versus the value of the property you’re buying. To make the most basic example, let’s say you’re buying a property that’s worth $100,000 and you would like a loan for $90,000. Your LTV is 90. In other words, you’re borrowing 90% of the funds for the property. With those explanations out of the way, let’s move on.

90% Texas Hard Money Loans Do Exist

Some Arizona Hard Money Loans are reticent to offer 90% Arizona Hard Money Loans, and for obvious reasons. The more money they put up compared to the value of the property, the more they stand to lose. Lending money is all about assessing the risk, and many lenders just prefer to play it as safe as possible.

At Level 4 Funding, we see things a little differently. Yes, we do risk assessment, and we don’t hand out 90 LTV loans to everyone who walks in the door, but we are willing to hear our clients out when the conditions are right. Let’s say someone comes to us with a high-risk opportunity for a fix and flip. They’ve got some experience in the game, their plan is solid, and they’ve got a passion for the project. Rather than send them packing, we are willing to see the high reward in the high risk and work out terms that can help that person’s dream come true.

Getting a 90 LTV at Level 4 Funding

We have extensive experience in Gilbert and have funded projects all over Arizona and beyond. We do up to 90% Texas Hard Money Loans and up to 100% for rehab costs if you’re doing a fix and flip. Our rates are some of the lowest in the business and, best of all, we’re just a phone call away. Let’s talk!

4 Things You Must Know Before Finding a Arizona Hard Money Lender

May 27, 2019Uncategorizedbigdaddydennis

Got Rotten Credit and Don’t Think Bad Credit Arizona commercial mortgage lenders Exist? Think Again.

If you’ve got bad credit and it’s stopped you from chasing your dreams, we’ve got fantastic news for you. Bad credit Arizona commercial mortgage lenders do exist and it’s not as hard to find them as you might think.

We live in a world governed by numbers. The SAT or ACT score you get determines which colleges you can attend. Your income can define you in some circles. Your age is a number, but it dictates a lot about your life. And, when it comes to getting financing, you credit score decides whether you can get a loan or not. And, even if you can, your credit score could determine what interest rates and terms you get.

If you’ve thought about opening your own business and you’ve thought getting funding was impossible, you’re not alone. In fact, in 2017, which was a banner year for banks saying “yes” since the recession, more than half of funding requests were rejected. And much of that rejection has to do with lower-than-threshold credit scores. Here’s a little secret — you can have bad credit and still get funding. How? Read on.

Getting Commercial Funding Even With Bad Credit

If the system is saying, “no,” then work outside the system. Colorado Hard Money Loans do just that, using private money that’s not regulated to death like the traditional financial juggernauts. Arizona Hard Money Loans are typically secured by collateral, so whereas a bank might ask for a minimum credit score of 700, bad credit Arizona commercial mortgage lenders care about other things. And, they’re not as scared of risk.

In fact, if you come to one with a high-risk, high-reward opportunity, have a solid plan you can communicate, a little bit of experience in the business, and a decent bit of collateral, there’s a great chance you’ll walk out the door with a loan. Keep in mind that this collateral could be the business you are buying, or it could be an existing piece of collateral.

Level 4 Funding Offers Hard Money Commercial Loans

Looking for bad credit Arizona commercial mortgage lenders in Arizona? You’ve come to the right place. At Level 4 Funding, we offer low interest rates and favorable terms on hard money commercial loans. Our process is incredibly simple and can be completed in as little as 24 hours. Give us a call today to see if we can help make your business dreams come true.

4 Things You Must Know Before Finding a Arizona Hard Money Lender

May 26, 2019Uncategorizedbigdaddydennis

Whether you’re doing a buy and hold or a fix and flip, if you’re going to use a Arizona Hard Money Lenders to get funding, there are a few things you’ll want to know that will make the process quicker and smoother. Let’s dive in!

Since the Dodd-Frank Act tightened regulations on the banks and big financial institutions in the country, real estate investors have turned more and more to Arizona Hard Money Loans for funding. This is a good thing — just like competition in business is good the consumer, the real estate market can only benefit from having multiple funding options for potential investors.

That said, hard money is still foreign to some, either because they’ve bought into the stigma of it or they’ve just always gone through the bank for one reason or another. Don’t worry if you fall into this category. Hard money isn’t anything scary or even complicated; it’s simply private lenders (outside the system) lending money to people buying or rehabbing real estate. In fact, if you’re used to the banks, with their extensive credit checks and mountains of paperwork, you might be surprised at how simple things are with Arizona Hard Money Lenders.

What You Should Know Before Going In

There are four things you should absolutely know before applying for a Arizona Hard Money Loan:

How much you need. You’ll need to crunch some numbers for the property you’re hoping to buy and figure out how much you need. Include all the little things, too, like closing costs, insurance and title fees.
How much your collateral is worth. Because you’ll secure your loan with collateral — this can be the property you’re buying or another property you already own — you’ll need as accurate a number as possible when it comes to value.
The after-repair value. If you’re planning a fix and flip, you’ll want to do your best to come up with a realistic value for the property after you’ve done the rehab.
Your exit strategy. Perhaps most importantly, the lender will want to know your exit strategy because that’s when they’ll see their money again. Before going in, have a budget and schedule for the purchase, the flip and the resale.

Finding the Right Hard Money lender in Arizona

If all of that seems daunting, don’t worry. The right Arizona Hard Money Lenders in Arizona can sit down with you and help you solidify your plans and let you know everything you need to gather for your application. Here’s how we look at it here at Level 4 Funding — your success is our success so anything we can do to help you be successful is a win-win situation! When you’re ready to talk, give us a call!

A Commercial Arizona Hard Money Lender Might Be the Ticket

May 26, 2019Uncategorizedbigdaddydennis

Most of us are fed up with the rat race, but most of us do it because we think there’s no other way. There is, and speaking with commercial Arizona Hard Money Lender is the first step.

If you’re like we were, you were probably sick of the 9-to-5 daily grind. You get out of bed, clock in at a job you don’t like, working for a company you don’t like and pleasing bosses you don’t like. You get home in time to eat and collapse. You keep going on this hamster wheel because it seems like the only option that’s within reach.

Here’s the good news — working in corporate America isn’t the only way to make a living. Owning your own business puts you in charge. As goes your business, so goes your finances; no begging for raises, no groveling to bosses, and no being undervalued as you work your way up the ladder. You might be saying to yourself, “I don’t have good credit, so I can’t get a loan to start a business.” That kind of thinking is what’s kept many of us from taking that leap, but it doesn’t have to.

Getting a Commercial Arizona Hard Money Loan is Easier Than You Think

Even if you’ve been turned down by the banks, you may still be able to get a Arizona Hard Money Loan. Here’s why.

Banks are beholden to all sorts of regulations and they’re cautious when it comes to risk. It makes sense — if they violate regulations, their going to be in hot water and if they just handed out money to anyone who promised to pay it back, they’d be out of business before you can say “bankruptcy.”

Colorado Hard Money Loans use private funds, essentially hooking up an investor who wants a return with an aspiring business owner who has a dream and needs some capital to get started. Typically, the property being purchased is put up as collateral, so commercial Colorado Hard Money Loans are usually less concerned with your credit score and past history. And, since they use private money, they aren’t regulated to within an inch of their lives, which gives them more freedom to be flexible on terms.

Arizona Commercial Hard Money Loans

If you’re ready to hang up your 9-to-5 gig and start being your own boss, you’ve come to the right place. Level 4 Funding is a commercial Arizona Hard Money Lender with a wide range of options for aspiring business owners. Give us a call or send us

Top 7 Reasons to Get Into Trust Deed Investing

May 26, 2019Uncategorizedbigdaddydennis

These days, there are myriad places to invest your money. One of the least know but potentially most profitable is Trust Deed Investing. Let’s look at what this is and the top ways you can benefit from it.

Here’s the ultimate goal — putting your money to work for you instead of working for your money. How do you do this? You can deposit your money in a bank. Your money will be safe there, but your return will also be almost nonexistent. You can invest in bonds or the stock market as well. With the stock market, you have the chance to get a really great return but you can also lose it all and there’s not much you can do to mitigate that volatility.

Here’s another idea that’s been around forever but isn’t given enough press: Trust Deed Investing. How does Trust Deed Investing work? It’s simple — investing in deeds of trust makes YOU the bank. In the most common example, you invest your money with a borrower who then purchases real estate and gives you the deed as collateral. Every month, you collect payments. If the borrower fails to pay back the loan, you have the real estate as a backup.

Sounds good, right? Let’s look at some of the top reasons to go with this type of investing.

Why Investing in Deeds of Trust is Good Bet

Your investment is backed by a real property, not just a promise from the government.
Your return on investment is high — usually between 10% and 29%.
You receive payments directly at scheduled intervals
You are in control from Day 1
Your collateral ensures you can get your money back in a worst-case scenario
Hazard insurance protects the property, so not even acts of God can derail your investment
A Title Policy protects the property as well, so you don’t need to worry about liens, encumbrances or defects

Finding Trust Deed Investment Opportunities in Arizona

So how do you find these types of investment opportunities? You can hustle on your own, but you might open yourself up to all sorts of legal and logistical issues. A better way is to go through a company like Level 4 Funding. We have the experience and know-how to connect you to a worthy Trust Deed Investing opportunity. Give us a call today at 623-582-4444.

Three Factors Texas Hard Money Lenders Use to Determine Rates and Points

May 25, 2019Uncategorizedbigdaddydennis

Points and rates in the hard money world aren’t regulated, so Texas Hard Money Loans set them themselves. Here we’ll look at how they determine rates and points, and what you can do to get the numbers on your side.

Most people understand interest rates, but points can be a little tougher to pin down, so before we get started, let’s look at what points are. It’s fairly simple — points are a percentage of the loan the lender charges to close on the loan. They typically range between 2% and 10% and they’re determined by the same thing that the interest rates are usually determined by — risk.

Let’s unpack that concept of risk and break it down into three factors — equity, borrower experience and exit strategy.

Some of the Ways in Which Colorado Hard Money Loans Determine Risk

Equity. The property’s equity plays a big role in rates and points. If the property is being put up as collateral, the lender wants to know exactly how much it’s worth and, sometimes more importantly, how much it might be worth in the future. Being able to show solid evidence of a property’s equity may be able to help you secure a lower rate.
Borrower experience. This is especially important when it comes to fix-and-flips. If this is your first time wading into those waters, a Texas Hard Money Lender may see higher risk and thus ask for a higher reward. Conversely, if you’ve flipped 10 homes successfully, there’s less risk for the lender and you may be able to negotiate lower rates.
Exit strategy. In the end, this is what it’s all about. You want to pay off the loan with your profits and the lender wants to have the loan paid off. That’s why going into it, you should have a solid plan for getting out. A fix-and-flipper might have a rehab plan backed by contractor estimates that says they can do all the work in three months and then put the home on the market. With this, the lender knows that the money will probably be at risk for a shorter period of time and he or she may be able to offer lower rates.

Getting Great Rates from an Arizona Hard Money Lender

At Level 4 Funding, we have fixed-rate APRs as low as 5.99% and flexible terms from 3 to 60 months on a wide range of loans, including fix-and-flip, construction, cash out and rental property. Want to see what rates you can get? Give us a call today!

Fix and Flip

News and Information on buying, fixing and selling homes for a profit

Monthly Archives: May 2019

Can You Really Make a 12% Return with a Trust Deed Investing?

Banks give you crumbs now and the stock market can be volatile, so many are turning to Trust Deed Investments to make a nice return on their money. How does it work and how much can you expect to make? Let’s take a look.

What is Trust Deed Investing?

How to Use a Commercial Arizona Hard Money Loan to Start a Cannabis Business

There’s no question about it — cannabis the nation’s next (and current) big boom industry. The stakes are high and so is the buy in, but that doesn’t mean you can’t cash in on this massive trend with a commercial Arizona Hard Money Loan.

Getting Funding for a Cannabis Business

Using Level 4 Funding for a Commercial Arizona Hard Money Loan

Wish You Could Create Passive Income? Try a AZ Hard Money Loan to Start an Airbnb

It’s everyone’s not-so-secret desire to generate income that doesn’t require clocking in and out at a miserable job. For some, Airbnb can provide that passive income boon and even people with not-so-great credit can do thanks to Arizona Hard Money Loans.

Overcoming the Obstacles to Airbnb Hosting

Getting a Hard Money Loan for an Airbnb in Arizona

Some Advice for Increasing Your Chances with Commercial AZ Hard Money Lenders

The Number One Thing That Makes Commercial Loans Easier

Commercial Hard Money Lenders in Arizona

Why Many Arizona Hard Money Lenders Don’t Do 90% Arizona Hard Money Loans and We Do

Some Colorado Hard Money Loans out there just draw a red line and refuse to do 90% Arizona Hard Money Loans, regardless of the circumstances. Here’s why we’re different.

90% Texas Hard Money Loans Do Exist

Getting a 90 LTV at Level 4 Funding

4 Things You Must Know Before Finding a Arizona Hard Money Lender

Got Rotten Credit and Don’t Think Bad Credit Arizona commercial mortgage lenders Exist? Think Again.

Getting Commercial Funding Even With Bad Credit

Level 4 Funding Offers Hard Money Commercial Loans

4 Things You Must Know Before Finding a Arizona Hard Money Lender

Whether you’re doing a buy and hold or a fix and flip, if you’re going to use a Arizona Hard Money Lenders to get funding, there are a few things you’ll want to know that will make the process quicker and smoother. Let’s dive in!

A Commercial Arizona Hard Money Lender Might Be the Ticket

Most of us are fed up with the rat race, but most of us do it because we think there’s no other way. There is, and speaking with commercial Arizona Hard Money Lender is the first step.

Getting a Commercial Arizona Hard Money Loan is Easier Than You Think

Arizona Commercial Hard Money Loans

Top 7 Reasons to Get Into Trust Deed Investing

These days, there are myriad places to invest your money. One of the least know but potentially most profitable is Trust Deed Investing. Let’s look at what this is and the top ways you can benefit from it.

Finding Trust Deed Investment Opportunities in Arizona

Three Factors Texas Hard Money Lenders Use to Determine Rates and Points

Points and rates in the hard money world aren’t regulated, so Texas Hard Money Loans set them themselves. Here we’ll look at how they determine rates and points, and what you can do to get the numbers on your side.

Some of the Ways in Which Colorado Hard Money Loans Determine Risk

Getting Great Rates from an Arizona Hard Money Lender