Things to Look for in a Real Estate Loan Servicing Software System
If you purchased a number of properties when the real estate market crashed, you may be looking to sell them now as the prices are going up. However, banks and other mortgage lenders are becoming more stringent in their loan requirements. This means it may be difficult to get rid of your properties before the prices start to drop again. If you have the means, you may want to consider becoming a private lender. Not only will you make money by selling properties you bought at a low price for something much higher, but you will also make money on the loan interest. However, if you are going to do this, having a real estate loan servicing software system will be a big help. Here are a few things to look for in the system to keep things as easy as possible for you.
Credit Analysis
While there are many ways to get a credit report on potential buyers, they generally do not give you the whole picture. You could even get a program used by other mortgage lenders, but it still may not help you find people you feel are worth the risk. You should look for a program that allows you to put in your own parameters for determining creditworthiness. These parameters may change with each potential buyer. After meeting and talking with them, you want to be able to input different things to get a complete picture. Remember, your gut instinct should count—but not for too much.
Portability
Even though you may do most of your work from the same computer, there are going to be times when you need to access the system when you are not at the office. Make sure that the system can be added to and accessed from anywhere at any time. You need it to be able to update remotely too. If you will have other people working with you, make sure that they can get to the program too. You should also ensure that any adjustments or changes are recorded in real time regardless of how the information was input.
Real estate can be a very lucrative business. If you got into it as a way to make some extra money for your retirement when prices were so low a few years ago, you may want to consider selling now. A good real estate loan servicing software program can help you add "private lender" to your resume.
