Owner-occupied Hard Money Loans in Colorado are fantastic for real estate investors who are just starting out but have dreams of making a big splash. Here’s how to leverage one to dip your toes into the real estate biz.
A lot of people love the idea of getting into real estate investment. After all, it’s a great, time-honored way to build wealth. Many back down, though, when they see how expensive it can be to get started. That’s where owner-occupied loans come in. They offer dreamers with a bit of entrepreneurial spirit the opportunity to build, even when they don’t have a lot of scratch to bring to the table. Before we look at how to use one, let’s look at how they differ from a typical loan.
As the name implies, owner-occupied means you intend to live in the property you are buying. HUD homes and foreclosures often require you to do this for at least a year before converting it into a rental property, and many HOAs also have a similar requirement (though these can be much longer).
Non-owner occupied means the purchaser won’t be living at the residence. These are important distinctions when it comes to the mortgage industry. An owner-occupied loan will generally receive better terms because the lender sees it as a smaller risk.
A Great Bet for People Just Starting Out
When you’re first starting out on your journey to real estate domination, you usually don’t have the fat wallet and a great credit history that banks drool over. Owner-occupied Hard Money Loans in Colorado are secured with collateral and they use funds from private investors, so lenders are more concerned with your tenacity than your bank account and past transgressions. Even better, they come through in a matter of days, meaning you can jump on that dream property faster than with a bank loan. And, here’s the beautiful thing that happens when you end up living on the property: you fall in love. You learn all the nuances of the home; you put your blood, sweat, and tears into it to make it the best it can be. The love and attention you give it will pay dividends a few years down the road when you’re ready to sell or convert it into a rental property.
Get Ready to Grab Your Paint Brush
If you’ve found a great property and you’re ready to grab a paintbrush and start your adventure, give us a call. We can talk about your dreams and figure out the best way to finance them.
Level 4 Funding LLC
Hard Money Lender
Hard Money Loans
Hard Money Loan
Arizona Tel: (623) 582-4444
Texas Tel: (512) 516-1177
Dennis Dahlberg Broker/RI/CEO
NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 Congress Ave | Austin | Texas | 78701
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.