Advances in Technology Continue
Another transformation is the advancement of lending into a corporate versus working class mentality. Remember the days when you met with your long-term local banker and discussed a loan? He would ask what’s new and how is your family doing? If you had a question or problem, he was there to guide you and help solve your issues.
Today, we have “specialists” who contact us over the phone—sometimes even through email or instant messaging–and assist us either with our payments or a when a foreclosure is made. Our individual struggles, relationships, and reputations are less and less a part of the real estate lending equation.
Smaller is Better for Relationship Investments
But it’s not all doom and gloom. Today, we are seeing an increase of, and may still depend on boutique firms that still value long-term relationships and one-on-one service.
As more and more banks become large corporate behemoths, the tide has turned for small and medium-sized real estate investment firms: more and more real estate investors are choosing to do business with local firms as they see the value of the “relationships.” This works for a few reasons.
These firms understand and value the relationship between investors, developers, and other parties involved in projects and transactions.
They can help by serving as a partner to developers. This comes with a dual interest to not only succeed for themselves but also the other party; this reciprocal relationship is valuable.
Understanding the Investor
As a medium-sized real estate firm that has been active in this space for over a decade, we fully understand and have made it our mission to serve our clients- both borrowers and investors with the utmost personalized attention they deserve. Today, we are proud of the fact that over 90% of our borrowers and investors come back to us for their real estate lending and investment needs.