Welcome to Frequently Asked Questions

1. Copy of fully executed purchase contract. If it is a short sale or bank owned property it must have bank approval of the sale. 2. Preliminary Title Report from the title company and/or closing attorney. Mortgagee Clause -DoHardMoney.com Its Successors and/or Assigns (This will be provided by you and in some cases we will provide through the title company of our choice). A 24 month Chain of Title MUST be included. The estimated loan amount for the title report can be the purchase price. The actual title insurance amount will be determined at closing. 3. Closing Protection Letter from the title company. Mortgagee Clause - DoHardMoney.com - 1078 East 3300 South - Salt Lake City, UT 84106 (no loan number required) 4. Wire instructions for funding. This is provided by the title company or closing attorney. 5. Evidence of Insurance on the property with vacant dwelling coverage for a minimum of 6 months (include agents name, address, phone number and email address) You will need to contact an independent insurance agent to obtain as most homeowner insurance companies do not offer this type of insurance. Coverage has to equal the loan amount with points at the minimum. Mortgagee Clause – DoHardMoney.com – Its Successors and/or Assigns – 1078 East 3300 South – Salt Lake City, UT 84106 6. If the loan is being closed in a company name then provide copies of the organization papers. Please be aware that all signers for the company will be required to sign as Personal Guarantors on the loan documents. 7. If the borrower is required to bring in the difference between purchase price and loan amount; these funds must be deposited to closing agent prior to docs and funding wire being sent. 8. Provide verification of funds to complete the estimated rehab costs. This means you have a plan of action and are prepared for success. 9. Completed the Personal Information and Authorization form on this link –http://www.dohardmoney.com/esign/ - You will receive an email from Echosign which requires you to follow through the confirmation process. Once this is done then the information will be released to DHM. This is done for your privacy and security. 10. For Experienced Rehabbers ONLY! You will be need to provide copies of the executed HUD Settlement Statements at the time you purchased the property. You will also need to provide copied of the corresponding executed HUD Settlement Statements at the time the property was sold. DHM will review to determine that you made a profit on the property. A minimum of 3 transactions within an 18 month period of time is required for an experience status. If you a new rehabber or have done less than 3 transaction in the previous 18 months this is not applicable

 

We do not have credit score requirements. If you have great credit you get a discount on fees over a minimum of 620. DoHardMoney.com lends based on the property not based on the borrower. That being said DoHardMoney.com will not lend to borrowers that have any of the following; 1. Current open Bankruptcy or bankruptcy discharged in the last 12 months 2. Open or unpaid judgments 3. Open or unpaid state or federal tax liens 4. Any other public records reported on the credit report

 

Draw Time. The borrower will be required to spend the original 25% and have 25% of the work completed on the home. The borrower will then submit copies of the paid receipts. An inspection will be required and completed on the property to insure the work is complete. Time Frame for Draws. The borrower will need to submit receipts for all funds spend. In addition the borrower will make a request and an evaluator/estimator will be sent to the property and complete a report. In addition a Partner with a Pro Program (if applicable) call will need to be made once the report is completed. This process can be as short as 5 days and as long as 10 days. Once the report and the phone call with a pro is recived draws happen on Tuesdays and Thursdays. So any reports received prior to Tuesday will have checks cut that day. Borrower can have a check sent or funds deposited through ACH.

 

$150 will be taken out every time a draw request and inspection is made. This fee will be taken out of the money set aside for repair funds. This fee applies to any and all loans no matter whether you are a new rehabber or experienced investor. Keep in mind that if the repairs are not completed on the property when an inspection is requested an additional inspection will be ordered and an additional inspection fee of $150 will be taken out of the repair funds.

 

Repair Funds are determined by Independent evaluators/estimators. DHM will provide 100% of repair funds.  For new rehabbers (or for that fact any investor) DHM offers the option of  working under the Partner with a Pro Program. These programs will give the client weekly phone calls during the work being completed on the property and bi weekly phone calls when the property is on the market. The Pro will help with budgets, what repairs to do and not to do, color choice and everything else needed to make the fix and flip get done. You will be required to attend these calls as well as take the advice of this seasoned professional. You will be given 100% of repair funds in the following manor; You will be required to spend the first 25% of the repair funds from your own funds. Once the money is spend you will be required to provide copies of the receipts showing what was spent. Upon receipt of the receipts an evaluator will do an inspection of the property and a report will be completed. 25% Reimbursement for funds already spent once 25% of work is complete, Receipts are required and an inspection is done 25% Reimbursement for funds already spent once 50% of work is complete, Receipts are required and an inspection is done 25% Reimburse for funds already spent once 75% of work is complete, Receipts are required and an inspection is done 20% Once 100% of all work is complete and the property is listed no greater than the highest value on the report used. A copy of MLS is required and work to be 100% complete before this draw will be issued. The borrower will be required to make regular price reductions monthly as well as provide feedback with comment from borrower to talk about how to get property sold . This process can be as short as 5 days and as long as 10 days. Once the report is received draws happen on Tuesdays and Thursdays.

 

We lend based upon you making a profit. As long as you are able to make a profit. We are happy to lend. Please see our Profit. Loan Calcualtor to determine what you can buy a property for

NON - FINANCABLE PROPERTIES

All properties considered 900 SF or less, properties with less than 2 beds, on or near a commercial corridor, around or across from rail road tracks or major street, road, highaway, and / or freeway system.  rural, agricultural or small farming communities, recreational properties or cabins, manufactured homes, mobile homes, duplexes, triplexes, and 4-plexes, co-ops, commercial properties, lots, raw land, construction, counties with population under 75,000, major renovation such as foundation, trusses, additions, or changes to the structural integrity of the house.