Denver Hard Money
It is hard to believe summer is drawing to a close in Denver and throughout Colorado with the temperatures soaring into the high 90’s. I hope each of you have had a prosperous and relaxing summer. I’m definitely looking forward to fall and some cooler weather. I wanted to send out a quick e-mail to highlight our Private lending programs in Colorado. We are drastically different than other Denver hard money lenders/ Denver Private lenders. Our loan terms are as long as 5 years with no prepayment penalties or upfront fees. Below are details of our program along with some recent closings. Please call or e-mail if I can assist with anything or feel free to fill out our one page loan application (http://www.fairviewlending.com/loan_app.htm )
Program Highlights:
• True Denver Private Lending product with no upfront fees or appraisals (we inspect all the properties and then put the transaction into closing)
• No credit minimums (borrower cannot be actively in Bankruptcy, but prior BK’s okay)
• No prepayment penalties
• Quick closings
• Cash out for any reason
• We only lend our own money and hold and service all of our loans
• We provide answers typically in less than 24 hours
• Loan terms up to 5 years (interest only, amortizing, etc… depending on the situation)
• Hard money/ Private money loans on Residential (non owner) and commercial properties throughout Colorado
• 50% Loan to Value
• Loans from 25k-400k
Recent Transactions
1. 175K loan on office building in Denver. Borrower ‘s tenant in the medical marijuana business. Closed the loan in under two weeks to give borrower cash flow for other business needs
2. 95k Single family in Aurora, CO. Borrower had a credit score of 495 with a prior foreclosure. Recently inherited the property and owned free and clear. Needed money quickly to take care of unpaid property taxes.
3. 150k Single Family in Englewood, CO. Borrower was a real estate investor. Had given one house back to the bank. Owned a rental property free and clear. Needed money to finish another project and buy out a partner
4. 125k commercial retail building in the foothills west of Denver. Borrower had a loan with a bank that went under. Bank offered borrower a discount if they were able to pay the loan off quickly. We closed in a week and a half and borrower got a 30% discount on outstanding principle balance.
5. 140k Steamboat Springs, CO, investment condo. Unable to get conventional financing since development had too many nightly rentals. Borrower lived out of state and had some credit dings. Needed cash quick to settle some credit card bills.
6. Above are just a few of the hundreds of recent closings; to see more examples: http://cohardmoney.com/closings.php or call me at 303.459.6061 to discuss your specific transaction.
Fairview Lending is pleased to announce the recent closing of hard money commercial and residential loans both in Denver and throughout Colorado. Fairview Lending is the leader in Denver private loans and Colorado private lending. As always we only lend our own money and there are never any upfront fees. We are located in the Denver metro and can inspect and close your transaction quickly. For more information on our recent closings please visit: http://www.cohardmoney.com/closings.php or call us at 303..459..6061 to discuss your transaction
Based on the recent Colorado Housing report it appears foreclosures have peaked in Colorado. In metro Denver, I think values are at or near the bottom. In the suburbs there is likely a little more room to fall although we should be close to the bottom. We have closed hundreds of loans both in Denver and throughout Colorado. We strictly lend our own money. To learn more about private lending please visit: www.cohardmoney.com
Fairview is a direct Colorado hard money lender. We fund both residential and commercial loans. Below are a couple recent closings.
1) investment Single Family Home: Aurora, CO. Borrower had inherited the property. He owned it free and clear. Had some prior dings on credit due to lates, etc… Borrower needed 55k cash to put into his business. He was unable to get a conventional loan due to credit score. Borrower had tried getting a loan with countless other folks before locating Fairview. We committed, inspected the property, and closed the loan in a week and a half.
2) Commercial office Building: Denver, CO. Borrower in construction business. Borrower currently behind on taxes on building and also needed money to pay off creditor. Borrower able to negotiate a discount with creditor (40%) if he could pay cash within two weeks. Fairview was able to close the loan in less than two weeks, saving the borrower 40% on an outstanding lien. No appraisal was required since Fairview physically inspected the property and then put the transaction into closing. There were no fees to the borrower prior to closing. The borrower also received cash out at closing to take care of other business needs and provide working capital
As you can see from above, Fairview is in the business of making loans. We strictly lend our own money and are locally based. We can underwrite and close a transaction in under two weeks with no appraisals (we physically do a property inspection to determine value). For more information please call 303..459.6061 to discuss a loan scenario or visit us at www.cohardmoney.com to fill out our 2 minute no obligation loan scenario submission form
Property Tax Appeals in Colorado:
Anyone who owns real estate property in Colorado should have received their notice of the new tax assessment. Owners have until June 1st to appeal their new valuation. Values have changed substantially both in the Denver metro area and throughout Colorado
First, should you appeal your valuation?
1. If you have purchased your house in the last 3 years and your assessed value is higher than you purchase price then you likely should appeal.
2. Also if your assessed value is higher than what comparable properties have sold for in your neighborhood you should appeal.
3. If you own a commercial property and there has been substantial change in tenancy you should appeal.
4. If the information listed on the assessment is incorrect (square footage, beds/baths, etc…) and overstated
How do you appeal?
1. Colorado is different than many other states. In Colorado, the assessment cycle is every two years.
2. For this year’s cycle, you can only use comparables from June 08 to June 30th 2010. This is critical to remember when appealing your taxes.
3. The appeal process is governed by state stature so each county is basically the same (some might allow online appeals while others may not)
Items to help you determine the value of your property?
1. For residential properties, comparables are the best indicator of value. Most counties provide a list of the comparables by neighborhood that were used with their reassessment
2. For commercial properties there are two methods
a. Comparables; similar to residential properties, one can locate comparables of commercial properties that have sold in the 08-6/30/10 time frame
b. Income approach: This approach takes the net operating income divided by a reasonable cap rate for a property to determine the value. More information on this calculation along with CAP rate, etc.. can be found at: http://www.fairviewlending.com/underwriting.htm#33
Can you appeal taxes yourself or do you need to hire someone?
1. I have personally appealed taxes on both residential and commercial properties and have been very successful
2. The appeal process is not that difficult if you have a basic knowledge of real estate
3. If you have a very large (>2 million) commercial property and do not have real estate expertise, you might want to consider hiring an expert
Resources for appealing your taxes:
• Denver County: http://www.denvergov.org/Default.aspx?alias=www.denvergov.org/assessor
• Jefferson County: http://jeffco.us/assessor/assessor_T80_R51.htm
• Boulder County: http://www.bouldercounty.org/live/taxes/pages/appealpropvalue.aspx
• Adams County: http://www.co.adams.co.us/index.cfm?d=standard&b=1&c=7&s=24&p=290#appeal_valuation
• Douglas County: http://www.douglas.co.us/assessor/Protest_Appeals_Process.html
Fairview Lending is an expert in Colorado Real Estate. We are private lenders that strictly lend our own money. We underwrite all our transactions in house locally and close your loan quickly. There are no upfront fees and we hold and service all of our loans after closing (we are not brokers). For more information on Fairview’s Colorado private lending programs please call 303…459..6061 or visit: www.cohardmoney.com
Colorado’s leading local private lender
Hope each of you is off to a prosperous 2011. I’m commonly asked what makes Fairview different than other lenders. Below are some of the highlights:
• No upfront fees or appraisals (we do an inspection free of charge)
• Quick closings on both residential (No primary residence; strictly investment properties) and commercial properties
• Local Lender only lending our own money; we provide honest answers quickly
• Ability to close transactions throughout the state of Colorado
• One page loan application
• Hard money/private money loans is all we do
• No Credit score minimum; we are underwriting on the property as opposed to the borrower
• When you call Fairview, you will talk directly to the decision makers.
• A+ rating with the BBB
Fairview has recently closed a number of hard money loans throughout Colorado during 2011. Below is just a small sample
• 185k Commercial Warehouse, Denver: Borrower leased building to medical marijuana operation
• 100k Agricultural Land, Montrose: Borrower owned free and clear, needed quick cash to take care of outstanding late payments with other creditors
• 25k Investment Condo, Aurora: Borrower lived out of stats, had free and clear investment condo in Aurora, needed funds for another property
• 125k Investment townhome, Fort Collins: Borrower paid cash for property, needed funds quickly to settle with the IRS
• 200k Single family home, Red Feather Lakes: Borrower needed cash for working capital for another business, self employed with credit dings
For more details please call me at 303..459.6061 or visit our website at www.cohardmoney.com.
Fairview is still closing deals. We have ample capital to quickly fund transactions on both residential properties (only investment, no primary residences) as well as commercial properties. Recently Fairview has closed a number of private loans throughout the state of Colorado. Below is just a small sample of our recent closings:
1) Aurora, Colorado: Borrower had bought property in cash, owned free and clear, needed cash for another transaction, had a bankruptcy 3 years earlier and credit was impaired, closed the loan in less than 10 days
2) Fort Lupton, Colorado: Borrower constructed investment property with their own cash, needed cash to take care of unpaid bills, unable to get conventional loan since self employed.
3) Denver, Colorado: borrower had an investment property that was used as a rental, needed a mid term solution (2-5 years) to allow them to catch up with outstanding IRS issues and straighten out credit
4) Fort Collins, CO: Borrower needed working capital for business. Business not performing to potential prior years due to economy.
Above are just a few of the hundreds of hard money / private money loans we have closed in Denver and throughout Colorado. Fairview is different than other hard money lenders; we only lend our own money and there are no upfront fees. We provide honest answers quickly and fast closings
There has been a recent uproar regarding agricultural exemptions. Should a developer who is unable to develop their platted subdivision be eligible for a agricultural tax exemption? A number of recent articles in the Denver Post have discussed this issue (Link to Denver Post Articles ). In my opinion the way to solve allot of the agricultural tax exemption abuse is to make the parameters more stringent. The following changes would solve the majority of problems: 1) make a minimum lot size for agricultural exemption (lets say 40 acres) 2) require anyone who receives the agricultural exemption to maintain the agricultural zoning for twenty years. If the zoning is changed, then all taxes at the normal rate for prior years become due and owing. These two changes will solve the majority of issues with agricultural zoning in Colorado.
Fairview Lending is a private Colorado Lender who has made hundreds of private loans on both residential properties, agricultural land, and commercial properties. To learn more please visit our website at www.cohardmoney.com or call 303…459…6061
There was an interesting article on CNN where Case/Shiller predicted a double dip in the housing market. What is leading this decline? In my opinion the number one driver right now is oil prices. Many of the hardest hit areas were “exurbs” for example in the Denver market, Castle Rock would be considered and exurb. Another area would be Bailey Colorado & Conifer Colorado These areas were typically filled with newer homes and catered to borrowers moving up int he market. Many of these areas have seen the highest percent of foreclosures. The majority of folks that live in these areas commute to larger cities in order to work. As gas prices continue to move above three dollars they take a larger bite out of the family budget. This leads to a downward trend in prices as more people lose houses to foreclosure and new buyers are reluctant to relocate to the area since it will be too expensive to commute to their job. There was an article in a local paper called The Flume which highlighted a drop in population in Park County. Traditionally people who lived in these area commuted to Denver. This drop in population in exurbs will continue the downward pressure on housing prices. Furthermore, the commuting trend is altering the current housing price landscape along with the future housing price trends
Fairview is actively lending in the Denver metro area and throughout the state of Colorado We are a direct private lender that does not charge up front fees. We lend on both residential (investment properties only) and commercial properties. No appraisals are required and we solely close loans with our own funds. For more information please visit www.cohardmoney.com or call 303…459…6061
According to a recent release of the S&P / Case Shiller index, property values across the country have continued to decline. Denver declined less than many of the other markets (~.57% decline)… full article at www.bloomberg.com. This is good news for the Denver metro area as I think Denver is close to the bottom in the property value cycle. There is still pain in the market (especially in Ft Collins, Parker, Castle Rock, etc…) but hopefully we are at the bottom of the cycle with increases in value on the horizon.
Underwriting criteria for traditional lenders continues to be tight, but non conventional lenders like Fairview are still actively making loans in this economy and will continue to do so going forward