Starting a flipping business can be intimidating, especially if you don’t know much about real estate. Luckily, there are many apps, software, and platforms today that are meant to simplify the flipping process – one of which is Do Hard Money.
Do Hard Money is more than just a lender. This platform also offers software and solutions that real estate investors can leverage to automate their business processes. To learn more about Do Hard Money, read this detailed review!
Do Hard Money is a company that helps in finding and funding properties for real estate investors. They claim to have the most complete flipping system in the industry and they do not make false promises.
Ultimately, Do Hard Money provides a wealth of tools, software, and solutions for every flipper in order for you to finally find your first deal. They also fund both novice and experienced investors.
Do Hard Money also benefits when you bring them more deals to fund. Over the last ten years, they focused on developing and perfecting their real estate investing tools, training programs, and other downloadable materials, too.
In other words, DoHardmoney enables everyone to become a house flipping pro and be able to bank more money, regardless of their experience level. Unlike other conventional hard money loan providers, they’ll finance you even if you have a poor paid credit history or you have zero experience in buying and flipping homes.
Here are some of the tools, solutions, and resources you’ll get access to when you use Do Hard Money: hard money loan, gap financing, investor’s edge, proof of funds, next property road map, advanced deal analyzer, solutions for finding properties, solutions for buying properties, solutions for selling properties, and investing strategies.
Here are their service areas:
They also have a comprehensive blog where you can find useful articles related to real estate investing and house flipping.
To verify their credibility, you can watch testimonial videos of their customers on their page.
DoHardMoney did not disclose on its website the upfront cost of using its service but reviews on the web mention an upfront fee which can be expensive. Nevertheless, they don't require monthly payments to keep being a member.
As for their loan terms, their interest rate is 1% monthly and they don’t charge any pre-payment penalty. The maximum loanable amount is $1 million.
Moreover, the Close mentions that DoHardMoney requires to be paid a $495 evaluation fee, $1,200 for doc prep, and 2.75% to 4% origination fee.
Before you decide to use DoHardMoney, it’s crucial that you know what you’re getting out of it. As mentioned, DoHardMoney not only offers hard money loans but also other solutions. Let’s review all of them.
Do Hard Money offers 100% financing loan. This means until the closing date comes, you don’t need to use your personal money.
Moreover, DoHardMoney will assign a Loan Advisor to you so you have a single person to turn to for any questions about the deals you’ll get and their financing aspects.
What’s more, a dedicated Project Manager will also be assigned to assist and guide you with the repair process if you are a flipper. Their PMs can effectively assist you in keeping your flip project on schedule and within your investing budget because they used to be general contractors.
DoHardMoney has a two-phase evaluation procedure and the first is done online. A team member from Do Hard Money will look up information about the investment property including images, the neighborhood where it is located, and comps. Through this, they'll be able to calculate the property's after-repair value (ARV).
If they like the numbers they see, DoHardMoney will send ask a third-party ARV expert to recalculate just to be sure of the likely profits.
If you applied for 100% financing and did not get approved, you can still cover the whole amount needed through gap funding. Gap financing is the amount still needed after you’ve gotten the loan amount you qualified for.
Put more simply, if a project costs $200,000 and the DoHardMoney company only approved $150,000 for your loan, the $50,000 remaining amount can be covered by gap financing.
Do Hard Money will teach you the best strategies to borrow the money you need. To be specific, they’ll teach you how to borrow money from yourself – from your home equity line of credit or self-directed retirement accounts.
Investor’s Edge is Do Hard Money’s complete deal-finding system. Through this software, you can narrow your property search by vacancies, bankruptcies, equity, owner-occupied properties, foreclosures, off-market properties, liens, etc. You can also bookmark your preferred searches so you’ll be alerted immediately when new listings match your criteria.
Moreover, a simple search will help you obtain information on the investment property, including its owner details, estimated worth, MLS status, estimated equity, recent comps or comparable sales, projected rent, mortgage balances, and liens.
Another great thing about this software is that when submitting an offer on a property, you can correctly estimate the costs of the rehab project with the free calculator.
Proof of funds are pertinent documents that can attest to the amount of money you have for to pay for your real estate investment acquisition. Commonly, in many real estate deals, your proof of funds letter comes from the bank, which reassures the homeowner who will sell the property that you have already acquired the required funding.
Since you will be getting funding from the Do Hard Money company, they are very willing to provide you with this document.
The company creates a good proof of funds letter so you can expedite your real estate investment and even outperform your competition. This increases the likelihood that you'll profit more from flipping houses.
Next Property Road Map is Do Hard Money’s weekly activity tracker. This software will give Do Hard Money's customers weekly assignments and they need to log in and enter the things they accomplished and didn't do.
To determine the progress of your business, you can also track benchmarks like leads, prospects, appointments, conversations, offers, and contracts.
When you feed this software with information about your goals and preferences, you can also start utilizing the Driving for Dollars method.
The staff of Do Hard Money will give you a step-by-step plan so you can locate a good deal. They’ll also estimate how long it will take you to finish a project.
The purpose of Do Hard Money’s advanced deal analyzer is to help new investors decide whether to move forward with a real estate deal or not. This software can tell customers exactly what costs to expect for the deal, the amount of cash-to-close needed, and the potential profit. All you have to do is punch in the purchase price of the property and its estimated repair costs.
You may also input the property's risk concerns, for example, crime or how far it is from a busy road, and the deal analyzer will promptly tell you how much money Do Hard Money can lend you.
Do Hard Money’s skip tracing program is a very effective technique to find accurate phone numbers and addresses of property sellers as well as identify contacts on the same property. Once you get ahold of this accurate contact information, you can start making targeted campaigns.
Moreover, the Investor's Edge app allows real estate investors to create postcards from their available templates so they can advertise to homeowners directly. Investor’s Edge will also send the postcard to the prospective seller by mail.
When you send your deal to Do Hard Money, they'll verify if you’ll earn from the deal and then send an email to 30,000 active real estate investors on their list. The majority of the deals are accepted by cash buyers within a business day. This reduces the timeline of every deal since you no longer have to spend a lot of time looking for buyers.
To further assist you in finding cash buyers in your location, Do Hard Money has a search filter you can use. In no time, you’ll be able to build your own network of cash buyers, private investors, and even wholesale buyers with assignable contracts.
Now that we’ve covered the features of Do Hard Money, we can now weigh its pros and cons. These are crucial to look into before putting in effort in contacting and applying for a loan from this company.
To use Do Hard Money, you can start by filling out a form on their website or contacting them. Most of their clients say they are required to pay a $3,000 membership fee so they can get access to all the tools and resources of this company.
After applying for a membership, you can start vetting for properties you are interested in. If you found a property that qualifies for their funding, you would be required to pay for evaluations and appraisals. From there, the process of closing the deal would begin.
If you are unsure whether Do Hard Money is the lender for you, you might want to check out some other financing companies for real estate investors. We’ve listed 10 of the most popular choices below.
Aside from offering loans for more expensive homes, Quicken Loans also offers fixed- and adjustable-rate home loans, FHA, USDA, mortgage refinancing, and even VA loans. They also lend money for multi-unit investments and residential properties.
Quicken loans allow down payments for as low as 3% on traditional loans. However, you are required to pay private mortgage insurance if you pay less than 20% for down payment. This is a great alternative to Do Hard Money because it offers a wide range of loan choices, they loan all over U.S., and their application process is super easy.
Veterans United is a full-service lender operating since 2002. They focus on VA loans for eligible veterans, active personnel, and of course their spouses. To date, they are considered one of the biggest VA mortgage loan providers in the United States.
Veterans United Home Loans is better than Do Hard Money for veterans because the business specializes in VA mortgages since 2002 and they have specialists who are experts in this lending program than other loan providers.
Moreover, they provide customer service (phone conversations) around-the-clock. You can connect to them if you have queries even in the middle of the night. You can also apply for a VA loan online.
Citibank, which has been around since 1812, has a variety of loan options that real estate investors can utilize for financing single-family rental homes they plan to purchase and fix. You can choose from 10 to 30-year lending terms if you choose this bank. There are also ARMs and fixed-rate mortgages that you can choose from.
Citibank beats Do Hard Money when it comes to lending for single-family houses because it provides various home loan products for investors, requires modest down payments compared to other lenders, and charges the lowest rates and fees in the real estate lending business.
Lendio is a free online service or marketplace where real estate investors can obtain at least 75 commercial loan offers from lenders in just a minute. As of writing, Lendio has already funded over 300,000 loans so its reputation is already built.
Lendio’s online marketplace is favored by many real estate investors since they make comparing rates quick and effective. Moreover, this marketplace makes it simple for a real estate investor to complete a single application and obtain multiple bids from other competing lenders.
The application process only takes 15 minutes and there are many lenders in the marketplace so there are high financing possibilities for you.
Nationwide Home Loans Group is powered by Magnolia Bank, an independent community bank established that has been around since 1919. Magnolia bank has expanded its services so it can lend to real estate investors across the country.
Nationwide Home Loans Group is without a doubt, one of the top construction lenders for real estate investors because it allows combining up to three loans in a single deal, lends in most U.S. states, and offers customer service seven days a week.
Its programs also require the lowest down payment for building construction loans. They offer 100% financing.
Anchor Loans is a hard money lender that offers loans in 46 states in the U.S. They are by far the largest fix-and-flip lender in the country and they already made nearly $7.1 billion in total loans since they were established.
Anchor loans pride itself as the first local hard money lender to lend over $1 billion to real estate investors in a calendar year (2016). Currently, their fix and flip loan program is the most popular among their loan programs. Moreover, they offer hard money bridge loans, refinancing, hard money loans for commercial buildings, and construction loans for new properties.
PennyMac provides a wide selection of loan coverage options, an efficient online quote tool, and other online resources like mortgage calculators, tools for house valuation, and affordability calculators.
Among the loan providers listed here, PennyMac has the largest coverage area in the United States.
Real estate investors who sought loan pre-approval and have received it can get a discount on the principal amount of their loan. If you choose to take advantage of the discount (which is roughly 0.5 percent of the principal amount) you’ll have lower investment loan costs.
LendingOne is a direct private real estate lender tagged as the best rehab lender in the market. They also provide real estate investors with pre-approval letters and proof of funds. LendingOne made it to our list because of their affordable rates and fees as well.
There are only a few commercial lenders that offer a pre-approval letter, loan up to 90% of the required amount for your project, and offer lower fees and rates.
As of writing, LendingOne only provides loan options for rehab-to-rent projects and fix-and-flip properties. Real estate investors are required 10% to 20% down payments.
CoreVest Finance is for real estate investors who already have prior real estate investing experience. CoreVest Finance has a wide coverage area but its main focus is on real estate investment loans.
To date, CoreVest Finance has closed loans of more than $20 billion. To be specific, more than 140,000 units have been financed by CoreVest Finance nationwide through loans in 48 states. They have already collaborated with countless investors and they can adjust their loans to meet the particular requirements of your project.
With the use of technology, Kiavi assists real estate investors in obtaining financing for investment properties.
Kiavi's very lenient eligibility requirements make it possible for new investors in the business to obtain a loan easily. Borrowers are not required by Kiavi to provide income documentation like W-2 forms or tax records.
Do Hard Money is primarily a lender so they can fund a house flipping deal. They do not, however, connect you to other hard money lenders because their business is actually lending hard money.
As of writing, Do Hard Money finances fix and flip deals, BRRR or Buy, Rehab, Rent, Refinance, and wholesale deals. Even if you have bad credit or you have no experience in flipping, they’ll provide you with a loan.
Do Hard Money is different from other hard money lenders because they offer more than just funding for flips and wholesale deals.
They also have tools, solutions, and resources including the investor’s edge, proof of funds, next flip property road map, advanced deal analysis, solutions for finding properties, solutions for buying properties, solutions for selling properties, and training for investing strategies.
What’s more, they lend money even if the borrower doesn’t have good credit or prior experience in real estate investing. They also don’t require a predetermined down payment.
Do Hard Money is your best bet for a hard money loan if you are a newbie investor or you have a bad credit score. But apart from providing you with funding, they’ll also help you with the whole investing process so you can get closer to financial freedom.
They have a number of tools, solutions, and resources that you can use to find properties, analyze deals, and connect with buyers. Note, however, that using their service would require you to pay upfront costs which can be pretty expensive.
If you plan to use Do Hard Money to find leads, a good and cheaper alternative is to purchase from pay-per-lead platforms like Property Leads. We guarantee the hottest and freshest leads generated from SEO. You would have little to no competition with our leads because we sell them exclusively.
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