How do we show Hard Money Lenders our track history?

8 Replies

We want the best rates on hard money just like everyone else. 

From what I understand, you can negotiate for better terms if you have good credit, liquid assets & a proven track history of successful investing. 

Our problem is that we never kept records of the fix/flips we've done in the past. How would we be able to show lenders our track history ( tax returns,etc) ? If we made some sort of portfolio or Power point would that suffice (Anyone can make up a fake PPT) ?

Thanks in advance...

You have never kept records..........so how do you know there was a profit? For every property I own flip/rental I have an excel spreadsheet. I doubt a HML wants to know you spent x amount of dollars on paint but giving them a snapshot of price you paid, total expenses occurred and price you sold at would be helpful along with HUD1 statements or MLS #s.

Did you work with the same title company? They may be able to pull some records. How were you funding your flips previously? Most HML's or banks will keep records. Contractors? Rocky had a good idea with MLS sale data. Did you use a Realtor? They may have some forms.

Ryan Dossey, Real Estate Agent in IN (#RB15001099)

They will know from your tax return.

@Rocky V.  

 they were flips my father did & unfortunately he never took  the time to keep track of them. I did speak to a few HML today and a lot of them aren't interested in anything too formal. Getting the MLS #s is a good tip.

@Ryan Dossey  even if the sale occurred 10-20 years ago?

@Stanley Okazaki  you are a smart guy. They don't need to go that far. The are lending the money based on the property. 2 or 3 years is the most they ever want to know. 

You can pull the information from the recorder's office. If they have an index of grantor, grantee. 

Make a list of your properties on a spreadsheet, with as much info as you can, purchase price, selling price, rehab cost, etc. If you are dysfunctional about documentation, ask an experienced office clerk, a friendly (!) Realtor or even a CPA to do this. Buying and selling property is a matter of public record and those records are out there somewhere and you really can't be that helpless and if you are, nobody will lend to you anyway.

@David T.  I was able to find them with this website called block shopper. Thank God for google haha. Thanks for the tips

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