Clay Sparkman
You are receiving this e-mail because you previously subscribed to our Private Money Newsletter for brokers and borrowers. We recently made the decision to convert this newsletter to a blog format. In doing so, it is our hope to: (a) reach more interested parties, (b) provide a community forum for discussion of issues related to private money brokering and borrowing, (c) provide a permanent record of our postings which can easily be accessed on-line at any time by category, post date, search keywords and such, and (d) provide access to other relevant and hopefully useful resources.
We also feel that it is appropriate–with this transformation–to make the postings more general to the topic of private money brokering and borrowing and less about directly promoting the products and services of my company. I am a firm believer that if we provide a high quality educational resource, you will utilize it, and ultimately be inclined to come to us first when you feel that you might need access to the products and services that we provide.
If there is anything I have learned in my 17+ years in the private money investment field it is that there is a thirst out there for more high quality, well organized information regarding this type of loans. Many people want to participate or get more involved, but don’t know where to go to learn about it. To this day, I am personally astounded by the lack of quality resources on this topic. So my goal with this blog is to help fill the void–to provide a quality forum in which interested parties can discuss and learn more about the many intricacies of private money brokering and borrowing.
Collectively we are Fairfield Financial Services, Inc. My name is Clay Sparkman, and two of my colleagues, Richard Sundvall and Kris Gilmore, have been providing material for the newsletter for some time now, and will continue to provide semi-regular postings for the new blog.
I’d like to start by asking if anyone would be willing to share information regarding quality resources that already exist regarding private money brokering and borrowing.
Oh, and by the way: I already host a blog—The Private Money Investor—specifically targeted toward those who invest in private money loans and trust deed positions. (It is really the flip side to the conversation we will have here.) If you are interested in checking that out, you will find it at http://privatemoneysource.com/blog/
— Clay (clay@privatemoneysource.com)
Tags: hard money borrowing, hard money brokering, hard money lending, hard money loans, private money borrowing, private money brokering, private money lending, private money loans
Need $10,000 to launch an innovative product .
Carl,
We only do real estate secured loans, and this blog is focused on the same. Would you be utilizing property as collateral?
Thanks,
Clay
Does Fairfield have an exchange of hard money sources in regional areas? We would be happy to use the exchange or Fairfield services
Ken,
I’m not quite sure I follow. What do you mean by an exchange?
Thanks,
Clay
hard money seems to be regional. how to find it is the trick
Good point. We lend in fourteen states, although we’ve had to scale back a bit regionally during these challenging times. Our coverage is in Oregon, Washington, California, Colorado, Florida, Georgia, Idaho, Montana, New York, Oklahoma, Texas, Wyoming, Alaska, and Nevada. We may have some referral sources in other states. I’ll check into that. If anyone else has sources they like to use, please feel free to share that info as well.
I’ve simply put up a website, put some ads out on Craigslist and a few other sites and then talk to everyone I know in regards to what I do. I buy, rehab, and sell properties. I explain what I can offer, explain the risks, and let both past pictures and numbers speak for themselves. I’m currently working with 2 private lenders (a previous private lender decided to hop on a Harley and forget about life for a while) and I have another private lender who wants to get involved in our next project.
Okay, thanks Paul. We don’t have a source for funds in the Chicago area, but maybe someone out there does.
Clay
Clay, It’s been a while since we have talked. I look forward to reading your blog. I have a scenario with Client (CPA) seeking funds to purchase residental REO’s from their local banks. Are you interested in more details? If yes, do you want me to send you an email or email to Richard or Kris?
Myron
Hi Myron,
It’s good to hear from you. Go ahead and e-mail to Kris at this time.
Cheers,
Clay
buying all kind of deals need seed money can pay back fast
Moe,
Could you be a lot more specific?
Clay
My interest for funding would be in the Oklahoma and Texas regions for RV/Boat storage facilities near lakes or parks.
Does this seem viable?
Peter,
I can’t help you in TX and I can’t help you on that sort of property in OK at this time. Sorry. Does anyone else have any suggestions for Peter?
Thanks,
Clay
I want to learn more about money brokering.
Then stay tuned Doug. That is what we are here for. Do you have specific areas that you would like to learn more about at this time?
Thanks,
Clay
Well if you have anyone you can refer in Arizona (west valley) it would be greatly appreciated.
Sorry, I don’t know of anyone off-hand. Maybe one someone else can chime in here.
Regards,
Clay
are you lending in Oklahoma? I asked a few months ago and was told you were not at this time,
Kevin,
We are setup to lend there and have done so previously. However, we are not doing very much there right now. Still, it depends on the size, type, location, and quality of a loan. If you were, for example, able to bring us a nice smaller ($250k or less) rehab loan with a solid borrower in the OK City area, we might well be able to do that for you.
Thanks,
Clay
Hello Im in the chicago land area. What source of hard money are you looking for exactly and how much?
Interesting blog – congradulations
We have seen many request for “cram-down” financing. Would you care to elaborate on your experience in evaluating what works in this type and what does not?
Tom,
I have to say that I’m not familiar with the term. Can you tell me what is “cram-down” financing? I would appreciate the enlightenment–and with a better understanding should be able to better respond to your question.
Thanks,
Clay
hello ‘ you do private money in minneapolis,mn on single family homes .
or purchase deals also..
Sorry we don’t do anything in Minnesota.
Clay
I am rehabing houses in Sacramento Ca area. It is difficult to get offers accepted on bank owned listings so now I am focusing on offers on short sales and waiting the 2 to 4 months until short sale is accepted. While I am waiting can I send you information about the deal and basically be preapproved before the short sale is approved.
Gordon,
Good question. We can pre-approve you as a borrower, but we would be reluctant to go through the full pre-approval process on a short fund deal until it is locked down. The reason: these deals often die on the bargaining table (you have to get the seller and one or more banks on board), and we would not want to invest many hours into something so uncertain. On the plus side, once you have worked with us on one or several transactions, you will see that we are quite predictable in terms of our criteria, and you will be able to negotiate a transaction with a high degree of certainty that we will be able to fund it. That is one of the most profound advantages to building a strong relationship with a single private supplier.
Thanks,
Clay
Choosing whether or not to use a hard money broker is the same as deciding to use a regular mortgage broker or approaching individual lenders yourself. There are advantages as well as disadvantages to using a hard money broker and deciding which avenue to take is a decision that you should make carefully.
That is certainly a reasonable statement. I didn’t catch your name, but I looked at your web site. Do you want to tell us a little bit more about what you do?
Clay