At the same time I am hearing from people across multiple markets that a significant number of funds are quietly struggling to raise.

More outreach. Less actual money. That gap is where deals go to die.

Here is what to do about it.

Treat lender vetting the same way lenders treat borrower vetting. Ask for references from people who closed with them in the last ninety days. Real borrowers. Real phone numbers. Real closings. A lender with actual capital has these immediately. A lender performing availability stalls on this question every time.

Understand what a term sheet actually is. It is not money. It is not a commitment. It is an expression of interest attached to conditions that have not yet been satisfied. Build your deal around a term sheet and you are building around something that has not yet been tested against reality.

Ask where the capital comes from. A fund that is actively raising while representing itself as ready to deploy has a specific risk profile that affects your closing timeline whether anyone tells you that or not.

The lenders worth building relationships with are out there. They have real capital, real references, and real answers to direct questions. They are just not necessarily the ones filling your inbox.

The ones filling your inbox right now some are legitimate. Some are using your deal to raise the money they are representing themselves as already having.

Know the difference before you structure anything around a commitment that may not survive a funding request.