Lenders should be aware that when it comes to real estate transactions involving a portfolio of properties, particular title insurance difficulties may develop that are unique to such transactions. As a result, lenders should ask for certain types of coverage and keep in mind [...]
Networking is crucial as you can't tell what opportunities it might bring to your doorstep. Networking and personal relationships are vital ingredients for success in the private lending industry. In establishing liquid logic as a clear market leader in the industry, networking and personal [...]
Guarantees can help a private lender reduce the risk of taking on debt by providing an extra layer of protection if a borrower fails or the value of the collateral drops. Full-recourse guarantees that lenders will be paid in full are the most popular [...]
Cross-collateral loans are useful lending techniques that can benefit a lender. Cross collateralization is a form of lending technique in which the collateral from one loan is used to secure a loan from the same lender. For example, consider the borrower's situation with a [...]
As the Consumer Financial Protection Bureau (CFPB) is preparing to begin drafting regulations to implement section 1071 of the Dodd-Frank Act, lenders look forward to a new regulatory chapter in the industry, resulting in significant new reporting requirements fair lending examinations and potential enforcement [...]
For many private lenders, raising capital is a never-ending task. The most difficult component of the process, whether they target mortgage investors for individual trust deeds or a mortgage fund, is generating investor leads. Unfortunately, most lenders do a terrible job of communicating their [...]
You are a servicer if you possess a private mortgage note and handle the servicing (collection of payments) yourself. These guidelines and enforcement operations apply to you. If you'd prefer to delegate that responsibility to someone else, contact us today, and we'll take care [...]
Although there are few defined standards in the private lending market, capital development and strategies have generally been consistent. The three major capital strategies include Balance sheet capital, credit facilities, and loan sale and correspondence. Private lenders required their captive fund sources. Many private [...]
There are several predictions as to what to expect in the lending industry as 2022 draws nearer. Here are some of the changes to expect as discussed briefly: A rise in Interest rates: Many sources, including the Mortgage Bankers Association, has predicted that there [...]
Gap closings have been a significant aspect of commercial real estate transactions and loans. As a lender lending a large sum to a borrower to purchase a property, you need to be well informed on how to use gap closings to enable the remote [...]
