Last Tuesday we asked readers where they turn for financing, whether they are still using traditional bank loans or if they have turned to other options. Here are some of the responses we received:

Drew Olson, principal, MoDevUSA: We’re working on a $6 million mixed-use lakefront project, and the key element that we’re focused on is pre-selling. Our goal is to eliminate the speculation. We’ve also identified three sources of GAP financing within the local market. Because the project means so much to the city, they are willing to fund part of it.

Ben Torrei, founder and president, BGT Capital LLC: “I build 20 homes a year in the [ New Jersey market]. My company has been able to push projects forward by paying 11% to 12% on construction loans, which turns into an 8% interest-only after a certificate of occupancy is issued. We have been able to arrange these loans for a lot of our partners in the market. The money is coming from private individuals and hedge funds.

Reader: Banks have not been an issue for any builder with a strong balance sheet and good project management. Most who have issues are under capitalized and need to find outside forms of financing.