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What Are Investment Property Lenders and How to Find Them?

Investment property lenders are generally property lenders that loan you money when investing in property.

These lenders are better known as hard money lenders or private lenders.

Let me explain the difference between the two.

Hard money lenders usually are private lending institutions that will loan on investment property only. Which means you’ll be buying an investment property of sorts.

However, most hard money lenders will only loan you money for a short period of time.

It’s more than likely you’ll be using these types of loans for your real estate flips.

With that being said here are some of the fee’s you can expect to pay for hard money. Typically, these types of lenders will charge anywhere from 3 to 9 points plus your closing and repair costs upfront. Also, expect to pay a 10 to 15% interest rate for your loan.

It sounds expensive; I know but think about it for one second. If you’re going to be buying a property as a real estate flip, paying 10 to 15% interest for a loan that you received without any credit checks, is really not that bad.

Once you have established a relationship and have proved yourself with your lender you can negotiate for a much better rate and you can also try to roll over payments into the loan.

You can find a hard money-lender by conducting a search on the internet by simply typing in your city of choice followed by the word hard money lenders.

Another great way to find a loan on investment property is the use private lenders.

Private lenders can be just about anyone with capital to invest. There great because you can offer a safe, secure, guaranteed investment with returns of 8 to 15% and you don’t have to pay any points up front.

Having private lenders on your side can be a win, win for all parties involved.

Here are some helpful hints as to where to find private money lenders.

The first thing you must do is ask yourself “who do I know?”

Do you go to the doctors?

Do you go to the dentist?

Do you have an attorney?

Do you know someone in upper management?

These are just a couple of helpful ways to get you thinking about important people you might know.

Build a strong relationship with your investment property lenders and you’ll never have a problem getting an investment property loan.

Drowning in Student Loan Debt? Who Is to Blame?

What do you do when your child tries to make up her mind among different colleges she’s been accepted to? Would your conscience allow you to give up the best possible college for a cheaper college that wasn’t as good? Could you ever live with yourself in the knowledge that you didn’t give your child the best education you could? Isn’t an education an investment that will pay for itself many times over anyway? Perhaps that was how it used to be. Seeing education in this way is no longer something that can hold water though. There are many families today that find themselves in debt for close to $100,000 from having considered a child’s education an investment that can pay for itself. Many graduates who find themselves in a merciless job market that doesn’t pay a fraction of what they hoped it would, find themselves enrolling in night school three years just on the hope that they can keep creditors for their student loan debt at bay.

Does putting off paying your child’s student loan debt off really make sense? The longer you put it off, the more the interest accrues. Does all of this sound like déjà vu? This does sound like the mortgage crisis that brought on the recession two years ago. Just as homebuyers five years ago thought that they could just swing it buying a home that would appreciate in value and make it worth their investment, students and parents today are trying to buy an education that they really cannot afford. They just hope that the investment they make will appreciate in value and somehow bring them great returns. They’re finding out just as homeowners did a couple of years ago, that reality can be very different.

It’s all panning out exactly as it did with the housing loan crisis. Colleges are enrolling students no questions asked, for courses that cost $200,000 over the duration of four years. They bring on banks that will underwrite those loans, and they all hope just like that, that those students will graduate and go on to make fat paychecks. If the jobs market happens to be disappointing, they can’t just declare bankruptcy with student loan debt either the way they can with a home loan. Federal bankruptcy law makes sure of that. Far from opening doors, an education for these young people pushes them into years of debt they can’t possibly get out of.

Typically, families that get themselves into this kind of situation start off applying for a federal loan from Sallie Mae. But after a while, Sallie Mae by the time the child gets to the final year, rejects any further advances and directs parents to apply for a private student loan with a private bank. Typically, when an application for a loan s rejected on account of maxing out credit, that person should set red lights flashing. But it usually doesn’t, because parents naively see an education as something that is worth any kind of sacrifice. Perhaps more balance is called for.

Save My House – What Do You Do If You Can’t Afford A Loan Modification Specialist?

I hear a lot of people say “I’d really like to save my house” but it’s just not going to happen. These are good folk who have invested their lives in their homes. They didn’t buy it as a speculation to make money, they bought it because it was their dream. This is the home they wanted and never thought they could have. This is the home they thought they would raise their family in. This is the house they thought they would grow old together in. If it hadn’t been for the recession, most of them never planned to leave. What happened?

There are a lot of good folk out there that could care less if they owe more for the home than it’s currently worth. Most people don’t buy a home for its investment value, they bought it because they wanted it. The recession may have stunted their plans. They may have lost an income stream or not gotten promotions they were promised. Had everything remained the same, they could and would still be making the payments on time.

If you are in this situation, you already qualify for a home loan modification.

The key here was something changed that affected your ability to make the payments. Your first step is to write the story. Start with this is where you were financially when you bought the home. Explain why you assumed you would be able to meet the payment schedule. Then explain what changed to make the home unaffordable. Did your spouse get laid off? Did you know the payments were going to go up? Did your hours get cut back at work? Use anything you can think of and verify it with paystubs, W-2′s, P&L statements if you are self-employed, etc. What you have just done is to write a hardship letter.

You are well on your way to saving your home.

My advice would be to get someone familiar with home loans and specifically home loan modifications to help you. Bankers do have a type of code-speak all their own. It is paramount that you or the person you choose to represent you knows the lingo and the rules. You are trying to save an asset that is valued in the hundreds of thousands of dollars. If it was in cash, I’m sure you would trust it to an uneducated person to invest for you, why would you trust your home to someone who doesn’t know what they are doing (you)?

Unfortunately good loan modification specialist don’t work free. You probably wouldn’t want to use someone who works for free anyway would you? What’s in it for them if you get approved? Nothing. So why would they work hard for you?

On the other hand, many people are in so deep they can’t afford a specialist. If you are in this category, at least invest in a course to teach you the basics. You want to arm yourself as well as possible if you are going into battle.

A Simple Plan: Businesses

Advantages of Taking Credit Cards

People that run a small business should certainly consider allow credit cards transaction. You no longer have to bring lots of cash to a store, thanks to the invention of credit cards. However you may run into a store that doesn’t actually allow their clients to pay using credit cards. These businessmen and businesswomen are missing out a lot, they are missing out on some very good advantages that offering credit card transactions gives. It’s easy for some people to give up these benefits, because they don’t know what these benefits are! Now let’s take a closer look at some of the benefits you will get should you accept credit card payments. You’ll surely be puzzled why not everyone gives credit card transactions once you’ve finished reading this.

As said before, people don’t have to bring loads of cash with them when they go to stores anymore. But what happens when these credit card carriers come across a store that doesn’t offer credit card payments? You don’t have enough cash on your wallet to buy the items there that you like, so what will you do? You can’t buy anything, so you’ll just leave without taking anything with you. It is a loss of sales for the person running the store. You now see how refusing credit card payments can hurt a business, because it can lose a lot of sales. You surely know that sales are one of the most important things to a small business, so if your business is losing on sales, you have to do something about it, you should start accepting credit card payments.

Another benefit of accepting credit cards for small businesses is that it makes the business trusted. When someone goes inside a small shop, they will certainly trust it more when they see the logos of the big credit card companies. It might not seem to be very important at first, but getting credit card processing to legitimize your business is actually very important.

Not only will it boost sales and legitimize your business, but getting credit card processing also allows you to take your business to the web. Businessmen and businesswomen surely know that today, taking your business online is a super important step for their business. This is because more and more people, or consumers, are heading online. Businessmen and businesswomen who refuse to take their business online will certainly lose a lot of potential customers. The majority of transactions made online are through credit card payments. So in this way, people who want to bring their business online have to get credit card processing.

By no means are these everything that credit card transactions will benefit you. But these benefits will surely make anyone seriously consider accepting credit card payments.

Short Course on Taxes – Covering The Basics

Information on Tax Returns

A penalty will be issued against you by the IRS if you fail to comply a tax return in which that tax return has a due. This kind of penalty is applied and reserved for those taxpayers who entirely fail to file. You are off the hook for this penalty if you do have a good reason for being unable to file your tax return.

A cost of five percent will be added to the total amount of net tax due per month the return is late if ever you did not work on your tax return. A net tax due is the amount of tax which has a deadline in which you will be returning minus any other payments which is done on or before the tax return is supposed to be filed. There is a minimum and maximum charge the IRS can charge any taxpayer.

If your return is a hoax, expect that a punishment for you is more severe. A penalty is usually given to those taxpayers who intently avoid paying taxes.

To determine if the taxpayer should receive a penalty, the IRS will need to look for some following details.The following details such as the taxpayer cannot explain the reason of failure to file their return, if he is making up things that is not agreeing with the IRS, if the taxpayer has a done this before or if he has the ability to do so, if he is hiding from the IRS, if he pays cash for other expenses may it be business or personal and if he there are files in the past but has chosen not to file this time.

When you have an S corporation or partnership, you will be assessed for a penalty for a year.

If your reason is reasonable enough for the IRS, you be forgiven for filing your return late. It is excluded when you just did not want to file or if you felt lazy in filing your return.

To know if you should be given any punishment or otherwise, a taxpayer’s case will be thoroughly studied and reviewed by the IRS.

The IRS will have some questions asked to you about whether to continue your penalty or not. A reason that have caused the taxpayer not to file a return and when did it happen, what has happened to the taxpayer that he did not file a return and when was this solved, the taxpayer’s reaction regarding to failure of filing a file and the taxpayer’s reaction upon changing the situation and that the taxpayer has filed a return are some things that the IRS would want to know about.

There is an option for a six month extension to file for taxpayers for them to be able to file their return.

A firm may help you on your taxes.

Reference: discover here