Why would investors take deals that banks would pass on?

Trust deed investments in Nashville TN can be a fantastic way to earn solid returns and diversify.

In fact, trust deed investments are one of the methods that the wealthy use to make much bigger returns on their investments than anything you can get on the open market.

In a nutshell, a trust deed investment is a private loan that’s secured by real estate.

Most are short-term, generally under two years, and normally at a high interest rate – 7-15% is typical, even when banks are lending at 3-7%.

Surprisingly, there’s a lot of competition from borrowers who are willing to pay these kinds of rates to lenders – and an increasing number of investors who are interested in funding them.

Why would investors take deals that banks would pass on?

There are lots of reasons, so let’s start with the basics.

Banks and lenders fall under a lot of regulations that private money lenders don’t necessarily have to follow, especially since they’re not federally insured.

Local trust deed investments are actually more like old-school investing. Trust deeds are built on trust – just like back in the day, when it was common for deals to be sealed with handshakes and there weren’t so many lawsuits.

Trust deeds aren’t just based on credit scores and ratios.

For these deals, insider knowledge, relationships and potential value matters a lot more than the score assigned by a computer.

But like other high-return investments, there’s a lot of risk involved if you don’t know what you’re doing.

The investors who make a lot of money on trust deeds work with highly reliable brokers, attorneys and experts who help them evaluate the full potential of the loan – and assess the risks involved.

If you’re interested in capturing solid returns from the local Nashville trust deed marketplace, we may be able to help you.

We get requests from people who are looking to borrow money secured by real property (with equity!) who don’t qualify for traditional financing.

As a general rule, most investors want a high degree of security that the borrower stands to make 20-50% ROI with the funds he or she borrows. If the borrower’s plan is too risky or shows signs of probable failure, it’s wise to pass on the investment.

We’re not brokers – sometimes, we may partner with qualified investors to secure deals, and a trust deed is one tool at our disposal. Contact our partners at we buy houses oklahoma city and we buy houses charleston

So you wanna get started investing in [market_city] and you’re checking things out, eh?

So you wanna get started investing in [market_city] and you’re checking things out, eh?

Good for you. Always do your homework and you won’t get schooled.
Here's some great tools that we've found and we use from time to time and great real estate investing resources in [market_city] for investors here locally to tap into for quick research on your investment deals.
The best thing is most of these sites below are completely free!
Here’s a few sites you should get to know:

1. Zillow

Zillow is the biggest, baddest real estate website on the block. They are building data on real estate wealth like few other sites.
The CEO of Zillow, Spencer Rascoff, said their company’s best asset was their “living database of all homes”.
The Zestimate tool is off, as a lot of folks have noted. It’s fun to see what the computer calculates, but you still gotta know how to analyze the comps and evaluate the market for yourself.
Spend a lot of time on Zillow and get to know the intimate details of each property sold in your target [market_city] neighborhoods. Really try to identify the psychology of the prices, and seek to understand why the seller and buyer picked that point to settle.
Remember, each sale is like a tiny piece of a moving puzzle that makes up the whole market.
Zillow is an awesome tool for investors to get to know their markets, especially for comps when you get leads of people who say, "I need to sell my house fast for cash in Nashville, TN."

2. Craiglist

Craigslist is an awesome site. There’s huge deals there, if you spend the time on the site. People write terrible ads for great properties. Happens every hour of every day across [state]. Sometimes the best properties only get one terrible ad. So you’ve got to scour.

3. LoopNet

LoopNet is the granddaddy of commercial real estate investing.
You wanna sell a gigantic freakin building to institutional investors, this is the site you want to list it on.
Sometimes there are great deals on LoopNet, but you’re competing with every other investor to find them. If you are a Grade-A investor working with a top broker, you’ve got a chance to win the bid and seal the deal. This is not the site for rookies.
LoopNet is a great place to learn about the market in [market_city] and see how the major money is moving. You’ll be surprised what you can learn, so start searching through the properties for sale and watching where they close.

4. Auction.com

Just like its name suggests, Auction.com is a big clearinghouse of auctions, -- foreclosures, REOs, short sales, distressed properties, land, new construction --- you name it, they probably sell it.
Definitely check out the auction calendar, and make a trip to visit some [market_city] auctions. You never know who you might meet at an auction – maybe your future business partner?

5. Realtor.com

The largest place to search the MLS (multiple listing service), Realtor.com is sometimes confusing and often doesn’t seem consistent with what data it displays.
But it’s got some neat search alerts and other tools that help you get alerted when a broker in your neighborhood has added a listing. If you’re serious about investing, you probably want to form a good relationship with an excellent Realtor, rather than just the website.

6. Walkscore

Most investors overlook Walkscore.com – a big mistake.
Walkscore tells you a ton about any given address. It tells you how a potential renter or buyer will evaluate it – what’s nearby and how long it takes to access.
It’s also a fantastic tool to target areas that are underpriced for their amenities. If an area has a really high walkscore and low prices, chances are good that prices will rise in the next few years. There’s big exceptions – but walkability is a really key factor in [market_city] investment.
Those tools will help you to understand the [market_city] area market, if you take the time to use them. Do your homework, and understand the market before you start dumping your hard-earned money into a property.
You can always give us a call [phone] – we love to partner up with investors, and we’ve got great terms.
If you're looking to access to local [market_city] investment properties, great! Contact out partners at we buy houses charleston and we buy houses oklahoma city today!