INDEX
The index that appeared in the print version of this title was intentionally removed from the eBook. Please use the search function on your eReading device for terms of interest. For your reference, the terms that appear in the print index are listed below
after-repair value (ARV)
annual percentage rate (APR)
appraisals
appraised value
approval process, with private money lenders
APR (annual percentage rate)
ARV, see after-repair value
asset-based lenders
finding
mindset of
and “six C’s”
strategies of
asset-based lending
asset-based lending companies
asset-based loans, see also hard money loans
assets, borrowing against
attorneys, real estate
automated valuation models (AVMs)
bait and switch
balloon loans
bank funding
as part of alternative strategy
prerequisites for
private money funding vs.
pros and cons of
tightening of
viability of
Berkshire Hathaway Home Services
“bite test”
borrowing
costs of
and leverage
from private money lenders
brokers, hard money
broker’s price opinion (BPO)
budget, marketing
Buffett, Warren
building codes
building permits
business loans
busy markets
buy and hold
and financial leverage
financing
and leasing
and property maintenance/management
buyers list, creating a
capacity (of borrower)
capital
capitalization (CAP) rate
cash
coming up with more
for down payment
running out of
as “skin in the game”
Certificate of Occupancy
chain transactions
character (of borrower)
closers
closing
checklist for
documents needed for
post-
preparing for
roadblocks to
setting a date for
steps involved in
time needed for
what to expect at
Closing Disclosure
closing documents
CMAs (comparable market analyses)
collateral
commercial real estate loans
comparable market analyses (CMAs)
comparison shopping, for loans
competition, for lenders’ dollars
condemned properties
conditions surrounding the property
contractors, coordinating
contract(s)
getting extensions on
and private money lenders
Corcoran, Barbara, on embracing failure
cost(s)
of borrowing
and coming up with cash
due diligence
of funding
holding
marketing
opportunity
of raising capital via crowdfunding
reducing
underestimating
unexpected
see also project costs
credit (of borrower)
credit cards, borrowing on
credit scores
crowdfunding
benefits of
cost of raising capital via
and debt vs. equity
and due diligence
and ownership
primary components of
qualified investors in
returns from
when to use
date, closing
deal flow
debt investment, crowdfunding as
debt service ratio (DSR or DSCR)
decision matrix
deficiency judgments
deposits
desired profit formula
detours
devil’s advocate, see hole poker(s)
distressed properties, buying
documentation
for closing
for private money loans
do-it-yourself marketing
down payment(s)
and bank financing
capital for
sources for
DSR (debt service ratio)
due diligence
and crowdfunding
and investment value
with lenders
and “living to fight another day”
and project costs
due diligence costs
earnest money deposits
emotional investing
end loans
equity, borrowing on
equity investment, crowdfunding as
estimates, repair
exit strategy(-ies)
buy and hold as
and considering the end before beginning
fixing and flipping as
wholesaling as
fact-based investing
failure
dealing with
and failing to plan
Fannie Mae
Federal Housing Administration (FHA)
fees, and lender scams
50 percent rule
financial crisis of 2008
financial factor(s)
for flippers
net operating income as
70 percent rule as
and time value of money
and wholesaler’s formulas
financial-only methods
fixing and flipping
and creating a buyers list
financing
and marketing for resale
renovations for
and reselling
and traditional lenders
flat-fee listing services
flippers, see also fixing and flipping
Flip This House (television show)
forced-placed insurance
foreclosed properties, buying
foreclosures
for-sale-by-owner (FSBO) services
Freddie Mac
costs of
to get going on the deal
items required for
long-term
mid-term
as numbers game
preliminary
preparing to acquire
short-term
funding option(s)
asset-based loans as
crowdfunding as
finding the right
as a new investor
private money loans as
traditional mortgage lending as
see also specific headings
hard money brokers
hard money loans
HELOCs (home equity lines of credit)
hidden project costs
historic districts
hits, taking
HOAs (home-owner associations)
holding costs
hole poker(s)
doing without a
and emotional vs. fact-based investing
finding a good
questions asked by
and value of second opinions
home equity lines of credit (HELOCs)
home-owner associations (HOAs)
HUD-1 Settlement Statement
illegal foreclosures
income streams
individual lenders
inspections
inspectors
insurance, forced-placed
insurance agents
interest rates
with private money lenders
and Rule of 72
with traditional banks
investment value
and availability of lender
avoiding subjective factors in evaluating
and performing due diligence
and property values
rules of thumb used to evaluate
screening opportunities for
investor-lender relationships
investors
finding other, for partnerships
pooling your money with other
IRAs, borrowing from
JOBS Act of 2012
knowledge, of private money lenders
land loans
landlording
leasing
legal agreements, for partnerships
lender(s)
asking, for more cash
asset-based
backing out by
choosing the best
communicating with
“deal stealing” by
and financial crisis of 2008
finding trustworthy
individual
matching loans with
needs of
private money
“quick turn”
timelines for
untrustworthy
verifying availability of
lender scams
leverage
lien searches
limited liability companies (LLCs)
and commercial loans
and crowdfunding
as partnerships
limited liability partnerships (LLPs)
lines of credit
borrowing from
freezing of
LLCs, see limited liability companies
LLPs (limited liability partnerships)
loan applications
avoiding mistakes with
online
loan(s)
asset-based, see also hard money loans
balloon
business
commercial
comparison shopping for
for different real estate strategies
finding the right
inability to pay back
land
managing your
matching, with lender
private money
process of acquiring
selling of
tips for finding the best
loan-to-value (LTV) ratios
long-term funding
maintenance, property
MAO (maximum allowable offer)
market crash of 2008, see financial crisis of 2008
marketing
costs of
for resale
materials, renovation
maximum allowable offer (MAO)
micromanaging
mid-term funding
MLS, see multiple listing service
money, time value of
money pits
mortgage, as component of private money loan
mortgage lending, traditional
mortgage professionals
mortgage relief scams
multiple listing service (MLS)
Murphy’s law
negotiating
net operating income (NOI)
new construction, financing of
new investors, funding options for
no-closing-cost loans
NOD (notice of default)
NOI (net operating income)
no-money-down transactions
notice of default (NOD)
one percent rule
one-time close loans
online loan applications
opportunity costs
other people’s money (OPM)
over budget issues
owner-occupant financing
ownership, and crowdfunding
paralegals
partnerships
basics of
and borrowing from partners
and choosing partners
finding others to include in
legal agreements for
and project costs
pros and cons of
what to avoid with
when to use
permits, building
Plan B, having a
points
“posers”
post-closing considerations
“pre-habbing”
price per square foot (PSF)
private money lenders
asset-based lending companies as
benefits of borrowing from
finding
individuals as
interests of
relationship factors with
traditional banks vs.
working with
private money loan(s)
becoming knowledgeable about
and being competitive
components of
creating documentation for
example of
and “other people’s money”
professional real estate investor,
becoming a
professionals, real estate
project costs
and contractors
and exit strategy
and funding as numbers game
hidden
and inspecting/evaluating the property
pitfalls with
rules of thumb for estimating
and running out of money
and scope of work
promissory note, as component of private money loan
property, as component of private money loan
property maintenance and management
property tax assessments
property values
PSF (price per square foot)
QAD (quick and dirty) calculation
qualified investors
and borrowing from private money lenders
for crowdfunding
with traditional banks
quick and dirty (QAD) calculation
“quick turn” lenders
real estate attorneys
real estate gurus
real estate investing, reasons for getting started in
real estate investment trusts (REITs)
real estate investor, becoming a professional
Real Estate Investors Association (REIA)
real estate owned (REO) properties
Real Estate Settlement Procedures Act (RESPA)
Realtors
rehab problems
REIA, see Real Estate Investors Association
REITs (real estate investment trusts)
relationships
and finding out about properties
investor-lender
renovations
rent verification
REO properties
repair estimates, obtaining
resale, marketing for
reselling
RESPA (Real Estate Settlement Procedures Act)
return on investment (ROI)
returns, from crowdfunding
Rule of 72
running out of money
savings accounts, borrowing from
scams
scope of work
searches, title and lien
second opinion, getting a
self-directed IRAs
set-fee formula
70 percent rule
Shark Tank
short-term funding
sight unseen, buying
“the six C’s”
65 percent rule
strategies, investment, see also exit strategy(-ies)
subjective factors
success, planning for
tax assessments
“team,” investment
tenants, screening
terms, loan
third-party inspections
TILA (Truth in Lending Act)
TILA-RESPA Integrated Disclosure (TRID) rules
time value of money
title agents
title company reps
title searches
tools, renovation
track record, developing a
traditional mortgage lending
TRID rules
Truth in Lending Act (TILA)
underwriting criteria
untrustworthy lenders
up front money scams
vehicles, investment
vendors
walking away
walk-throughs
WE BUY HOUSES signs
wholesalers
wholesaler’s formulas
wholesaling
“whole-tailing”