Email Lenders Prior to Having the Deal?

Question

Can I email local banks and hard money lenders before I have the deal or I have to do this once I have the deal?

A bit back story: I am a consultant, therefore have a 1099 job, not a w2 job. I'd like to do a BRRRR strategy for my first deal. I'm planning to get a HELOC to have that money in my account so that the lender sees that if extra money for rehab I can fund it. I plan to get a hard money or private money lender to fund the house + rehab and then refinance to a commercial loan (since I won't qualify for a conventional loan just yet with my 1099 job)I don't have the deal that I will be purchasing yet (actively looking for it) but can I start emailing local banks to see if they would refinance me and/or hard money lenders?

I understand that getting a pre approval is great (I obtained one when I bought my personal property) but since I am planning to get a commercial loan can I still get a pre approval? Considering that the commercial loan qualifications depends on the property, not sure how they can pre qualify me before I even have the property...

Reyna Lopez · Answer

Thank you Account Closed

Thank you @Jared Klock I'll send you a private message now

Account Closed · Answer

@Reyna Lopez It depends on the relationship between you and the lender and how hungry they want a deal from you. If a lender knows you and knows that you are actively searching for deals, they may help you out with any questions to earn your deal in the end. If the lender does not know you and they are busy with other customers, they probably will just ignore your email. So build a relationship with a commercial lender would be my advice.

In terms of pre-approval letter, commercial lenders usually don't give out because there is no deal yet. But in some cases, they still write it as the sellers insist to request one. For example, they know you, they know what kind of property you are looking at, and the future deal will highly likely fit their loan programs. Again, it's kind of like a relationship based.

Hope this helps!

Jared Klock · Answer

I’m always willing to review / discuss an upcoming deal to make sure it makes sense before moving forward. Obviously, you need to have all the relevant info. It feel free to contact me.

Email Lenders Prior to Having the Deal?

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