Posts Tagged: hard money

6 Reasons Hard Money Loans Can Be A Smart Choice

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private money lender

Due to your credit history, risk elements of your property, or other reasons, your investment, commercial, or residential loan request may not be approved by conventional lenders like banks because the loan scenario does not fall within their standard risk parameters. In such circumstances, hard money loans come in handy. This article will discuss top six reasons hardy money loans can be a smart choice for you. What are the benefits that make hard money loans a smart choice? 1. Hard money loans fund projects that conventional lenders will not want to even consider. There are situations a bank or some other traditional lender would…
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New Trends in Private Money Loans

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Private money loans provide a source of financing for lenders with bad credit or for unconventional purchases. New trends are showing this field is growing.

There are plenty of reasons to appreciate hard money lenders in California, Florida, New York, or wherever you may live. If the thought of investing in short-term real estate projects for profit interests you, such as fix-and-flip ventures, you’re going to need these lenders to help you start or further your interests.  This is especially true if you are seeking home loans with bad credit. Yes, you’ll likely pay a little more in the way of interest than you would with a traditional bank loan.  It’s also true that most private money loans are short-term in nature (say, a year).  However, the trade-off is that private…
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How to Secure a Small Business Loan

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Whether you need money to launch your small business or short term capital infusion to help get over a slow season, a small business loan could help.

As long as there have been people striving to better their lives, there have been lenders willing to give them a leg up – in exchange for repayment with interest. If you want to purchase a family home but your credit isn’t top tier, you can still find home loans with bad credit. If you’re buying your first car and you have a sizeable down payment, you can get financed for the rest. Or if your dream is to fix and flip homes for profit, there are hard money lenders in California that can help you to reach your goals. What about starting or managing…
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What You Need to Know About Fix and Flip Lending

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You can make a pretty penny fixing up run down homes and flipping them for a profit - so long as you can find the financing to purchase the property.

Real estate flipping is nothing new. It has long been a way for motivated investors to turn a small amount of capital into larger sums by purchasing rundown properties, fixing them up, and selling them for a profit. Fix and flip operations generally consists of a person or people who are familiar with real estate and construction. This way these investors know which houses to target with the most potential for gain and which upgrades to undertake that can be completed quickly and at little cost in order to maximize profit. That said, there is another important factor to consider: loans. Most people don’t have the cash…
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The Most Common Uses for Hard Money Loans

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If you want to make some money in the real estate market but don't have the credit score to secure a loan, then you should turn to a hard money lender.

With the real estate market improving by leaps and bounds of late, it’s not very surprising that real estate investors are keen to get back in on the action. Prices are on the rise, which means savvy investors can find ways to buy low, sell high, and earn a tidy profit along the way. Of course, just because investment opportunities are abundant doesn’t mean that financing for such undertakings is readily available. At the moment, it’s still pretty difficult to secure home loans with bad credit. Whereas traditional lenders were handing out loans with no money down like candy before the financial collapse that sparked…
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Income Property Investing Do’s and Don’ts for Newbies

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When first entering the world of property investing it's important to do your homework and avoid costly mistakes.

Investing in real estate continues to be a lucrative industry, allowing some investors to earn six figures or even seven figures annually. Jumping into property investing isn’t something you want to do without some knowledge of the industry, though. You have to understand different terms like hard money and private money, especially when it is time to start financing your real estate investments. You can find both hard money lenders in California and private money lenders in California. This will definitely come in handy when you begin buying properties to rent out. Hard Money vs Private Money Loans in California The main difference between private and…
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Common Reasons Your Private Money Loan Request Would Be Denied

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Understand the possible reasons you may be denied for a private money loan to help better plan your financing strategy.

There are many reasons why real estate investors might seek out private money loans instead of more traditional avenues of mortgage lending. Not only is credit rating generally not a factor, but these loans can be much more expeditious than borrowing from banks. This is because private lenders are more interested in collateral than credit, as well as the plan for seeing return on investment from real estate projects like house flipping, rental properties, or other commercial interests. Because funding comes from an individual or a group of private investors, you won’t have to jump through the same hoops as with traditional lenders. That said,…
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Hard Money Loans and House Flipping

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If you're looking to get your house flipping career off the ground, consider getting startup capital from a hard money lender.

Call it what you want but flipping houses has become Popular with a capital P in recent years. I speculate that the success of books such as Rich Dad, Poor Dad, by Robert Kiyosaki and TV shows such as Flip This House have brought fourth public knowledge on the merits of house flipping. Regardless of how house flipping became popular, it’s in and it’s here to stay! So How Does House flipping work? Well, on pen and paper it’s really straight forward, you buy a house for cheap, you fix up the house and you sell it for more than what you paid for. Easy…
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Benefits of Private Lending and Hard Money Loans

Posted by & filed under Credit Tips.

Consider taking out a loan with a private lender instead of with a bank to save you time and money.

Unfortunately, not everyone on this earth is qualified to receive a loan from the bank. A history of bad credit, no credit and high debt in your portfolio can really stack the cards against you, lowering your chance of being approved by most financial institutions. So what should a person do if they can’t receive money in the “typical” way? Those that often have a hard time borrowing money often turn to private lenders which are also referred to as hard money loans. So what exactly are the benefits of private lending? Glad you asked. Read on to learn the benefits of private lending and…
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Hard Money/Private Money Rates

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private loans interest rates

Probably the most asked question when someone is calling to find out about hard money is, “What is the interest rate?” The short answer, which is also not very specific, is that rates usually range from 10 – 12%. In some cases, we have done deals with rates below 10% but those tend to be cleaner deals. Before we can accurately answer the question, we need to know some of the details of the loan. Some of these things are: loan amount, purchase price (if it’s a purchase), property value, what type of property and the location of the property. There are other factors that…
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