In private lending, the first five minutes of a deal tell you more than most underwriters will discover in five days. Not because of magic—but because experienced lenders know what to listen for.

When a new borrower calls, texts, or emails with a “great deal” they need funded quickly, that first conversation sets the tone. It tells you whether they’ve done their homework, how organized they are, and how likely this deal is to go sideways.

Here’s how smart lenders size up a deal before they even open the underwriting file.

Start With the Four-Point Snapshot

Before diving into documents, ask for a short verbal summary that covers four essentials. You’ll learn more in 60 seconds than you will from a 30-page PDF.

Ask:

• What’s the property type and location?
• How much are they borrowing, and what’s the total purchase price or payoff?
• What’s their exit strategy—and do they have supporting proof?
• When do they need funding, and why the rush?

A well-prepared borrower will have clean answers. A risky borrower will ramble, dodge, or contradict themselves.

Watch for Hesitation Around Ownership or Title

One of the most expensive mistakes in private lending is assuming that the borrower owns what they say they do.

Within the first five minutes, ask:

• Is the property already in their name or entity name?
• Can they provide a preliminary title report?
• Is there anyone else on title or involved in the deal?

If they hesitate, over-explain, or say “we’re in the process,” it’s a signal to slow down and confirm. Many deals fall apart here—after lenders have already invested time, energy, and legal fees.

Listen Closely to the Exit Strategy

Every borrower has a plan. But smart lenders look for evidence.

Ask:

• Are you refinancing or selling—and who have you spoken with?
• Do you have a listing agreement, pre-approval, or LOI from a buyer or lender?
• Have you closed on similar deals before, or is this your first?

You’re not just listening to the answer. You’re reading their confidence, clarity, and timeline alignment. If the exit isn’t clear and proven, you’re lending on hope.

Clarify Their Real Deadline—and Pressure

Rushed borrowers often pressure lenders with phrases like “we need to close tomorrow” or “we’ll lose the deal.”

Instead of reacting, ask:

• What’s driving the deadline?
• What happens if you don’t close on that date?
• Have you already committed to a seller or payoff?

Real urgency has documentation behind it. False urgency relies on pressure. You’ll know the difference right away.

Don’t Skip the Personality Test

This part’s not on a form—but it matters just as much.

In those first few minutes, ask yourself:

• Are they respectful of your time?
• Do they answer directly or dance around questions?
• Are they organized in how they describe the deal?

Lending is business, but borrowers make it personal. The ones who seem scattered, defensive, or demanding before funding often become problems later.

FAQs

Q: Should I ask for documents during the first call?
Only if the verbal pitch checks out. Let the conversation guide what you request next. Don’t waste time chasing paperwork for a deal you already know won’t work.

Q: What if a broker is calling on behalf of the borrower?
Same questions apply. If they can’t answer clearly, either they’re not close to the borrower or the borrower isn’t ready.

Q: Is it normal to say no after five minutes?
Yes. The best lenders pass early and often. It saves time, protects capital, and filters in better borrowers.

Q: Can PL360 help with early-stage deal screening?
Yes—we often review early deals for lenders and flag structural issues before documents are drafted or money is wired.

Need Help?

The best lenders don’t wait until underwriting to spot problems. They listen early, ask clearly, and protect their capital from the very first conversation.

Request a Free Loan Servicing Audit or Book a Discovery Call to build a smarter, safer lending process—starting from minute one.