Comments for The Private Money Investor

Comment on Is Oregon next? by raul mares

raul mares — Mon, 28 Jun 2010 02:35:31 +0000

commercial property is being hard hit too,lots and lots of empty bldgs. just ask Evans Elder and Brown Inc.

Comment on Is Oregon next? by raul mares

raul mares — Mon, 28 Jun 2010 01:40:29 +0000

Ore. is next, I see it all around me here in Eugene, it’s folding like a cheap lawnchair.

Comment on The private money lending business: likes and gripes (part I) by admin

admin — Mon, 21 Jun 2010 20:15:04 +0000

I think it is a good idea for those who are either (a) getting in and out fast (quick-flip) or (b) those who are in for the long hold. Otherwise, it is not a good idea. There is too much uncertainty.

Clay

Comment on The private money lending business: likes and gripes (part I) by Dustin Parslow

Dustin Parslow — Fri, 28 May 2010 03:38:13 +0000

Is buying a foreclosed house really a good idea right now? Shouldn’t we wait and see how long it takes for the market to bounce back from this recession? I would have to think some cities are progressing faster than others, but what are your thoughts on our country as a whole?

Comment on An interview with Grover W. Sparkman by Alan

Alan — Fri, 12 Mar 2010 16:42:41 +0000

Clay:

Nice touch here, I enjoyed reading it.

Alan

Comment on The private money lending business: likes and gripes (part I) by health quote

health quote — Sat, 06 Mar 2010 19:18:44 +0000

Regardless of the reasons, I think there are three items which do not bode well for commercial real estate prices in the next few years. First and perhaps most overlooked, investment or income producing properties, during the boom years, where purchased more for appreciation, rather than “income”. In other words, many deals were justified by investors who were willing to forego a rate of return (income), for future price appreciation. But as its name suggests, this is not what “income producing property” is all about. If it doesn’t give you an income stream in good times, it sure won’t be able to in bad ones. Only a “flipper” can make money on appreciation, and the trick is to know when to get in and when to get out. Second, the credit crisis has reduced the chances of obtaining loans, and also the leverage previously afforded owners/purchasers. Less money means less deals, and more cash out of pocket. This can only lead to lower prices. Third, we are for now in a “new” economy (although Americans often prove to be driven by fads and can be short sighted), where we will consume less, which should mean less need for commercial space. If there is one truth that history makes clear over and over again, it’s that most sectors of the economy will move in conjunction with one another, not in spite of one another. No doubt prices are tied to supply and demand issues, but too much of a swing invites change. So when prices double and triple in one sector while the rest of the economy isn’t going in that direction, chances are some force will snap that imbalance back into its proper place in the overall economy. And that change can be from social, economic, and/or political means.

Comment on Won’t somebody please call a plumber … the banks are clogged by Carroll B. Merriman

Carroll B. Merriman — Wed, 24 Feb 2010 05:44:24 +0000

awesome info about investing

Comment on Commercial real estate tsunami? by Property Auction

Property Auction — Tue, 19 Jan 2010 20:38:37 +0000

Glad that I came across your site . I look forward to learning more about you. I work with a Land Auction company in Alabama. Check out my link. I am always looking to expand my network. Thanks again!

Comment on Trust deed lending – ten mistakes you should never make and ten mistakes you must never make by Real Estate Ads

Real Estate Ads — Sun, 27 Dec 2009 09:14:08 +0000

Trust deed lending – ten mistakes you should never make and ten mistakes you must never make………….Good post…
Thank you for sharing…

Comment on The private money lending business: likes and gripes (part II) by lloyd doronila

lloyd doronila — Tue, 10 Nov 2009 00:11:06 +0000

Great post.

Thanks a lot

Comment on Twenty-five questions you must ask by admin

admin — Fri, 25 Sep 2009 18:44:57 +0000

Indeed this is a critical factor in the decision to invest or not invest. It is probably worth noting that there are a few things an investor can look for in a loan to mitigate this type of risk. (1) An nvestor should ask to see any documentation/evidence demonstrating that either the borrower qualifies for the take-out loan program they plan to utilize or (in the event that the property is to be sold) that the unit(s) to be sold fit into a lending program that is likely to work for and appeal to the target borrower(s). (2) Keep the LTV down. As long as the LTV is not too high, there is always another private money lender willing to refi the loan. And (3) Make sure that the borrower is financially solid enough to maintain payments should the initial plan not work out, and be prepared to offer an extension to carry the borrower through. A good borrower always has a contingency plan. A great borrower always has several.

Comment on Twenty-five questions you must ask by arthur

arthur — Thu, 24 Sep 2009 23:56:39 +0000

Point No. 12 seems all important now and the reason many lenders are not lending. The usual exit strategies of re-financing or selling are so severely diminished as to make one wonder how a balloon loan will ever pay-off.

Comment on Resources – where is all the good stuff? by admin

admin — Sat, 12 Sep 2009 19:06:19 +0000

Thank you Arthur. I greatly appreciate your generous reply. Getting started in the blogging business–I see now–involves a bit of a conundrum at first. One finds ones self thinking, “well I don’t have many people waiting on my stuff just yet so maybe I can put off a new post until tomorrow, and I really hate to do my best work when so few people will actually be reading it.” But of course, in fact the only way to build a serious group of readers/participants is to give your very best stuff as much and as often as possible. So thank you again for the encouragement. And a hat tip to you as well for http://blog.pmaclennan.com. This looks to be a very relevant and professional site. I plan to get to know it.

Regards,
Clay

Comment on Resources – where is all the good stuff? by arthur

arthur — Thu, 10 Sep 2009 18:11:08 +0000

Clay,

“Where is all the good stuff?’ Right here — you are providing it. I too have looked in vain for two years for thoughtful websites dedicated to private money lending. I am always trying new search terms in Google and keep getting the same generic, superficial pre-packaged pieces about this field. I am impressed with your three posts thus far and now you know your voice is not just an echo.

Sincerely,
Arthur
PS –One interesting site I recently found is a blog called peterpayspaul — “hard money lending from the inside”. It is mostly related to commercial lending. Check it out –
http://blog.pmaclennan.com/