How to protect myself
Hey BP,
I am doing deal analysis on properties I have found in my area. I picked out some vacant properties and I'm analyzing the deals to see what would be the best exit strategy and how to finance them. I have access to MLS and can run comps and have a good analyzer to run the numbers. I have sent letters to the owners asking to purchase the property. I have not received any responses so far and I am digging for more contact info about the owners so that I can reach out to them.
I have been searching for financing options and found a few hard money lenders that will work with me, but I don't meet the requirements yet (need to set up my LLC - easy enough, and have to get the down payment). I have recently been contacted by a private money lender that wants to loan me the money on flip projects. I am not entirely sure about this and want to know what you guys think I should do to make sure that I am protected and at the same time that I don't mess up a good opportunity. I have been honest with him about where I am in the process and he wants to send me a loan application to fill out and get me approved for the funding. This is my first time dealing with a private lender and a bit nervous and want advice.
Is there something I should make sure to do to check this guy out? Is there a way to make sure that I'm not giving my information to someone trying to scam me? How should I go about this to make it work?
I really appreciate all the time to help me learn how to figure this out.