Whenever I think of the word “INVESTMENT” another term strongly allied to this comes in my mind instantly and that is “RISK” associated with the investments. Yeah! Investments in any business quickly shift the focus of the investor on risk factors associated to it. And same goes for the real estate investors and Hard Money Lenders Arizona.
Now who is at the highest risk – real estate investors or hard money lenders? This needs to be sorted out on logical grounds as per my thinking. Let’s evaluate the existing scenario in an unbiased manner.
Real estate investors by and large believe that whenever they will involve hard money lenders in their business of investment, they will lose their prospective accomplishments or maybe they would be at the verge of an end in a very short while. Is it just a myth or actually it happens on realistic grounds? Are there any evident examples about it or real estate investors’ just use it for the sake of led downing? Let’s evaluate it on realistic and factual grounds.
As a matter of fact, in lots of cases property investors may think that private money lenders don’t want them to make money and that is the entire truth. Property investors are people that are purchasing a property, fixing it up and reselling it for a profit. They are typically individuals or if they are not individuals they are small corporations that are run and managed by typically individuals, their families or partnership or whatever the case.
Hard Money Lenders at the other end are people that are providing funds but they are non-institutional funds meaning they are not banks or credit unions. They are private funds that have money they lend to property investors. Some property investors may think that hard money lenders are just out to get them and some of them are; that’s a naked truth. In fact some hard money lenders are out on what we call loan to own program meaning they are loaning money with the intentions of taking back the property as fast as possible. And any time that a property investor screws up that hard money lender just occupy that property as fast as they can.
Such very few but factually present miscreants distort the image of hard money lending and lenders. But if they find good hard money lender; the hard money lenders don’t want your property, they don’t want blood from you. All they want is a return of their money and return on their money. So they want to make sure they get their money back and then they want to make sure that they make a profit on their money, which is all outlined they do to lend.
But if the property investor gets into a situation where they can’t make money then the hard money lender could be in jeopardy of not only not making money but also losing their invested money. And as a logical fact I can say that this is the hard money lender who is at the verge of jeopardy indeed.
This is what we do for property investors at Arizona Hard Money Lenders. We want to help them to be successful in deal while bearing the risk factors of investment. We want to help them make money because again hard money lender understands that if the property investors are making money they are making money.
1 comments:
I guess the risk factors are associated with every thing you do but we have to decide that whther its worth taking the risk or not and from my point of view, hard money lending business is booming nowadays..
Post a Comment