If you operate as a real estate lender, you might be seeking tools to help you acquire new clients and grow your business. You need to find an all-in-one solution with a lot of power that can assist not just agents and investors but also lenders looking for new clients.
Keep reading to know more about this platform, including the simple tools for assisting lenders in finding their next client.
How Can these platforms Benefit Each Lender?
These platforms feature a long list of unique datasets to help you go ahead, whether you’re hard money, traditional, or private lender. Let’s look at each of these in more detail.
Traditional lenders will gain from using an online platform to attract buy-and-hold investors since they provide lower borrowing rates, stricter credit standards, and more extended periods. These landowners have been holding on to their homes for a long time, qualifying them for a standard loan, whether it’s to support a new real estate venture or refinance an existing one.
Traditional lenders can utilize the search feature to find these types of investors by using filters such as ownership and mortgage information to establish ownership length, owner type, mortgage history, predicted loan balances, and LTV (loan-to-value) ratio.
The High Equity Short List is also intended to fulfill the needs of a variety of lenders. Lenders can use this to find homes with a 50 percent equity or an LTV ratio of less than 50 percent.
With current interest rates at historically low levels, homeowners may seek to refinance their existing loans to reduce their monthly payments. Traditional lenders can utilize search parameters to find homeowners who purchased their homes when interest rates were significantly higher than they are now. Again, the mortgage information filters in the search feature come in handy here.
When a lender registers a property at any online platform, they can access loan details under the “My Properties” page. They can then approach these possible new clients using ListAbility’s Skip Tracing Solution to get crucial contact details (phone numbers & email addresses) and sell their services.
Hard money lender
The fix-and-flip loan has grown in popularity over the years and now accounts for a significant amount of a hard money lender’s business. Investors know money can be made in a fix-and-flip, but they frequently face financial obstacles in pursuing these projects. This is where private and hard money lenders come in, as they can fund a flipper’s next rehab project even before their present one sells.
In contrast to the 2-4 percent interest rate on a regular house loan, lenders can make 12-18 percent on a fix-and-flip loan. As a result, they are one of the most sought-after loan arrangements.
Online platforms features a number of valuable tools for rapidly and simply locating fix-and-flip loan prospects. Hard money lenders might begin by looking for property purchased for less than two years and sold just using the Flipper Quick List option. They can then contact those investors to see if they’d be interested in purchasing another property now that their amount is nearly complete.
Lenders can also exclude cash-purchased flippers from the Flipper Quick List. This allows them to target clients who have previously received investment and are more likely to require additional funding.
Lender to the Private
Online platforms can also help private lenders grow their business by allowing them to target flippers looking for a new fix-and-flip loan. Private lenders desire a solid return on their investment because they’re using their own funds to fund the loan. House-flipping profits peaked in 2020, with an annual gross profit of $66,300 per home, the most in 20 years.
Another handy feature of any online platform is the Rehab Estimator. It assists lenders in doing their due diligence and accurately estimating renovation expenses before providing their own money.
Finally, private lenders (and also hard money lenders) who specialize in commercial real estate financing might benefit from any online platform. Lenders might also describe the property type they’re seeking for an investor while doing a search. To find commercial properties, use the “Property Characteristics” filter. Then use list stacking to concentrate on other specific criteria like location, size, and so on.
During their search, lenders can also identify related properties within a region, and this helps in increasing the size of their focused marketing list.
Take Your Lending to the Next Level
Online platforms provide the precise and dependable tools to help extend your clientele, whether you’re a lender searching for fix-and-flippers, current homeowners or commercial real estate investors looking to refinance their loan.
Find your set of one stop solution for your real estate business .