Tag Archives: private hard money

Does Our Government Really Hate US? Really?

What’s wrong with our economy?

One of the technical terms used when evaluating a healthy economy is a term called velocity of capital.  What this means is how fast  money is moving around from one person to another,  or defined as “The velocity of money is the rate at which money is exchanged from one transaction to another and how much a unit of currency is used in a given period of time. Velocity of money is usually measured as a ratio of GNP to a country’s total supply of money.


As you can see from the above graph the Velocity is on a steady decline.  So what causes the drop? My opinion is that there are two main reasons:

  1. People (consumers) have stopped spending money.   They are sitting on a boat load of cash and they are in a wait and see mode. 
  2. The second reason why there is a decline is that the government has put up road blocks to keep spending money.  One of the biggest road blocks enacted are the Dodd-Frank Regulations  that are making it extremely difficult for individuals to purchase homes. 

When someone purchases a home it’s not just the seller and buyer who are happy.  There are those downstream of this  closing  that are going to be happy when the home closes.  Typically the listing and selling agents are happy, but there are others who also benefit from this happiness and make a living off of the sale.  Sure the buyer is happy, they have their dream home they always wanted, and the seller is happy since the can move to their next home,  or maybe get rid of the current home.  It’s going to be a Happy, Happy, Happy fest.  The agents who listed/sold the home can’t wait till they receive the final HUD 1 is completed and the title company sends out the checks to the brokers.  Most agents keep a list of the transactions in their pipeline and like most agents, their spouse is quizzing them on the transactions.  My wife usually says, ‘got anything closing this week’?  She says this specially during the holiday season.  I’m happy to say that yes!.  This is going to be a good Christmas.  However there are many others who will benefit from this transaction and will have a happy Christmas.

  • Title company and the title agent are getting something from this transaction, like title insurance & escrow fees.
  • The loan company, Loan Officers, Loan Brokers, Underwriters, support staff, company sales rep also benefit.
  • Home Inspectors, and termite inspectors are getting some of the money.
  • Handyman who will fix the conditional items from the homeb inspection also get a piece of the deal, and don’t forget all the hardware stores will get a piece of this pie when the handyman  buys a new faucet or  other item to be fixed.
  • Tax payers benefit when home taxes are being paid in full with collections of future taxes.
  • Insurance companies are writing a new policy.
  • HOA’s are going to receive a transfer fee and maybe impact fees.
  • Neighbors are going to be happy to see a new neighbor.
  • Disabled Vets are going to receive all of the  stuff the new home owners are going to give away before they move.
  • Utility companies are going to get a change notice and if the account is past due, they are going to get paid.
  • Appraisal companies will get their piece of the pie also.

iStock_000002302749XSmallIt is amazing when you think of all the people who will touch this transaction to complete the deal at all.  BUT what’s really startling is how many people will be able to keep their job, put food on the table and survive. 

With all of this occurring, we should sell homes all the time, but I’m shocked by the road blocks our government has put in place to stop this from occurring.  In an effort to fix the last collapse of the housing industry, the administration has generated a mountain of mind numbing regulations to stop consumers from purchasing a home.  It’s like passing through  gates of hell to get a loan.  We have gone too far in the wrong direction to fix the problem.  The incoming administration has indicated that they are aware of this problem and is promising to fix the regulations ASAP.  Let’s get money flowing again!

Level-4-Funding-Dennis-Dahlberg-Mort[1]Dennis Dahlberg Broker/RI/CEO/MLO
Level 4 Funding LLC  Private Hard Money Lender

Arizona Tel:  (623) 582-4444
Texas Tel:      (512) 516-1177
NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 Congress Ave |Austin | Texas | 78701

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About 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 42 years. They have 2 beautiful daughters 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.

 Free Report The 8 Things You Must Do To Be A Successful Home Flipper


Benefits of an California Bridge Loan

An California bridge loan is a specialised kind of quick time interval loan designed to assist debtors get money quick and may be utilized that may allow you to buy a house. Realizing the dangers, advantages, and ins and outs of bridge loans can even allow you to make a clever switch.
An California bridge loans is a typical approach for dwelling patrons to current you a down worth as soon as they’re on the lookout for a mannequin new dwelling whereas concurrently promoting their present dwelling. Most patrons rely on the sale of their present dwelling to offer the down worth for his or her new dwelling, nonetheless, it’s not regularly potential or fantastic to shut on the present dwelling first. In a superb world, you shut by your self home at 9:00 a.m., have funds accessible by 10:00 and shut in your second dwelling earlier than midday. However it certainly actually very sometimes works this trend. Additional usually, you shut in your present dwelling and may uncover a quick time interval rental for a month or two earlier than you shut on a mannequin new dwelling. This isn’t solely dear, nevertheless it actually causes you to wish to maneuver twice and in addition you are actually throwing money away by renting.
One reply to the issue is an Califronia bridge loan. A bridge loan bridges the outlet by lending you the down worth for a mannequin new dwelling that you just merely then pay as soon as extra as rapidly as your private home sells. The bridge loan is secured to the patron’s present dwelling. The funds from the bridge loan are then used as a down worth on the mannequin new dwelling. Bridge loans are gaining in recognition as a down worth probability on account of they provide versatile phrases and are comparatively straightforward to qualify for. Furthermore, many lenders is not going that will help you to take out a house fairness loan on a house that’s listed obtainable in the marketplace, so in plenty of conditions a bridge loan is the one choice to current you money for a down worth.

5 Things to Know About an California Bridge Loan

Like all loan, a bridge loan has constructive dangers and advantages. Realizing your total alternatives and going into it utterly educated will provide help to danger loads a lot much less and income further. Listed underneath are 5 necessary factors to remember in case you are fascinated with getting an California bridge loan.
  1. Qualification is often a straightforward and painless course of. Most lenders wouldn’t have set FICO scores or debt to earnings ratios for bridge loans. Instead, qualification is predicated on a complete image of your funds and whether or not or not or not it is smart to buy a house earlier than you promote your present one.
  2. Chances are you’ll pay the next value of curiosity. Like many quick time interval loans, bridge loans have elevated fees of curiosity than 30 12 months loans. You often have a grace interval of 1 to 4 months relying in your loan phrases and in case you pay the loan as soon as extra with proceeds out of your private home sale, it is potential you may often keep away from paying quite a few curiosity.
  3. You may need to have the facility to qualify for 2 mortgages. A bridge loan can even allow you to with a down worth, nonetheless you could nonetheless ought to qualify for 2 mortgages and have the facility to make month-to-month funds on each if push entails shove. Nonetheless, most mortgages don’t require a price for the primary month so in case you promote your private home rapidly, you ca
  4. Bridge loans can even allow you to advertise your present dwelling further rapidly. A house that’s lived in is regularly additional sturdy to promote than one which’s vacant and staged. By shifting into your new dwelling, you could give your self the proper probability of promoting your present dwelling rapidly and for prime buck.
  5. You’d uncover your new dream dwelling with out the stress of attending to promote your present dwelling first. You don’t must attend or make unattractive contingency offers. You should purchase your new dwelling instantly which can often get you a greater value and assist ensure you get the house you need.
If an California bridge loan looks as if a superb opportunity for you, uncover a provider or private lender correct this second to get the tactic began correct this second!
At Stage 4 Funding we consider bridge loans and completely completely different quick time interval loan sorts. Establish our workplace correct this second to schedule a session to hunt out out if a bridge loan is an environment friendly probability for you. Don’t wait on a sluggish market to purchase your subsequent dream dwelling. Use a bridge loan to get into the house you want correct this second.

Dennis Dahlberg

Stage 4 Funding LLC
Arizona Tel:  (623) 582-4444

Texas Tel:     (512) 516-1177
NMLS 1057378 | AZMB 0923961 | MLO 1057378
23335 N 18th Drive Suite 120
Phoenix AZ 85027

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Wild West Phoenix Real Estate is Heading for a New Boom Time–Yeahaw Getty UP

With low inventory and too many patrons, the Phoenix Precise Property

Market is on the verge of a model new improve in precise property values.


With low inventory and too many patrons the Phoenix Precise Property Market is on the verge of a model new improve in precise property values.

“This improve goes to be utterly completely different,” in response to Dennis Dahlberg, Diploma 4 Funding Hard Money Lender. “The ultimate improve was fueled on greed of the patron; this time will probably be a present disadvantage. Over the earlier 6 years there was little growth or movement of filth, leaving the Phoenix housing market ravenous for model new homes. Furthermore, home values are elevating dramatically, and as quickly as the current home owners get above water (have equity) they will want to switch up. We can have a trifecta or the right storm-no homes, pent-up demand, and doc low charges of curiosity. And for those who occur to throw a little bit bit inflation on excessive of the mix – watch out! Bam! its going to be a wild journey – a wild west journey!”

Based on the data equipped by S&P Case Shuller, the underside is over and we’re shifting up as soon as extra and this time will probably be even better! (For a extreme determination  [click on on proper right here  Real Estate Values])

It appears from the graph of the Phoenix Residence Values beneath, that the true property market throughout the Phoenix area is heading up. Is it time to buy precise property as soon as extra? How prolonged will it take to come back again once more to common? Should I get out of the market and wait? These are hard inquiries to answer nonetheless Dennis makes these recommendations:
— Home values just isn’t going to return to the event line for yet one more 1-2 years. Latest growth reveals Phoenix once more to the highs starting July 2014!
— The upturn in values are ensuing from LACK OF INVENTORY AND RECORD LOW INTEREST RATES.
— Maintain your home if doable. Do regardless of it takes to keep up the current home.
— Do a Mortgage modification? HAPR 2. Its doable nonetheless there are only some who’re worthwhile.
— If you ‘bail out’ and let the monetary establishment foreclose, you can be unable to purchase a home for 5-7 years, even perhaps on no account as soon as extra!
— Inflation will it come once more and might the value of the buck drop dramatically? (This would possibly change if the USA will scale back spending and carry taxes, scale back medical/social security, and enhance the tax payment by 45%. I don’t suppose it would happen.)
— The amount of debt throughout the USA will proceed to develop. The amount could possibly be very scary.
— At this payment,in 5-7 years, it will worth $10 to buy a loaf of bread. Gasoline will worth $25/gallon. And the frequent starter home value may be $600,000.
— Get out of debt; eradicate the financial institution playing cards and pay them off. Purchase solely once you’ve obtained the money. Do not get into any debt. (I sound like your mother proper right here, nonetheless she was applicable.)
— Start a facet enterprise. It’s too troublesome to make clear why proper right here, nonetheless the right motive is the potential tax profit and the doable earnings. Your private facet enterprise is the LAST area the federal authorities has however to assault. Make it straightforward and get going. A further $400 per 30 days truly helps.
— In case you’re prepared, purchase prime quality single family homes in an ideal area and swap them into rental objects. (Your facet enterprise?)

I’ve talked to a lot of people that actually really feel that they’re going to ‘let their home go and lease for awhile’. Rental expenses are lower than their mortgage expenses. Positive, they’re! ‘We are going to save a wide range of money by renting vs. paying the mortgage, and in 2 years we are going to purchase as soon as extra and have an ideal down payment.’ Properly, it’s really going to be 5-7 years sooner than your credit score rating report appears to be sufficient to purchase a home as soon as extra. And would possibly you truly save the money? Most people will spend the money on toys. If hyper-inflation hits, like some economists predict, then you definately positively’ll be priced out of the market. Do you want to take the chance? Maintain your home, do a HARP 2 Mortgage modification, and dangle on – the next 5-7 years are going to be pleasing.

Dennis Dahlberg is Widespread Supervisor of Diploma 4 Funding, with a couple of years of flipping and fixing precise property experience.