What to Know About Hard money loan lenders?: 3CALoan
Hard money loan lenders are giving loans from a very long time and will give like this forever. As the lending money is the second-oldest profession. Nowadays private or hard money loans are used by real estate investors from professional renovation investors with the good performance records.
What are Private Money Loans?
The Hard money real estate loan come secured on the basis of a note and deed to trust for a real estate transaction. These loans for real estate are a specific type of asset-based loan financing. Real property secures the funds the borrower receives. Hard money loan lenders typically have some type of relationship with the borrower as opposed to the residential hard money real estate loan. The hard money real estate loan is an alternative to a conventional loan where private funding is secured by the value of a property.
In this article, we will discuss some type of facts about the hard money loan and this will prove you that if hard money is the right option for you or not.
Hard Money Loan & Hard money loan lenders Facts
Fact #1
Hard money loans are very quick in funding money as compare to any other loans. Hard money loan lenders usually take 7-14 days to fund a money. The investors who are interested in flipping homes know that the time is the important factor in flipping homes the loan needs to be fund sooner rather than later.
Fact #2
Hard money loan lenders are different from conventional lenders. They are different in the fact that they are the type of local lender and they easily fulfill their terms of checking the property before funding money on the deals. Hard money loan lenders always try to get closer to the investor, So, they can feel the property before making a decision to fund a money for a property.
Fact #3
Hard money loans are different conventional loans in the terms of interest. Hard money loans are much more expensive. If we talk about interest then in hard money loans, you have to pay 10 to 20 percent of the value of the property as an interest. They are also different in the terms of points which buyer have to pay on them. You have to pay as much as eight points to Hard money loan lender.
Fact #4
Most investors opt hard money loans for short-term deals instead of long-term deals. Most Hard money loan lenders lend the money for just six months up to a few years.
Fact #5
While Funding a loan, many Hard money loan lenders will require you to use a specific appraiser who the lender knows and trusts.
Fact #6
Almost every hard money loan is structured with the due dates usually for one to two years after the loan is issued just like balloon payments.
FINAL THOUGHTS
As we discussed above, you should the important facts before taking hard money loans. If you are interested in exploring the options of hard money loans, please give us a call. While doing an investment choosing hard money real estate loans for real estate is a great option. You should have the full information about hard money home loan terms. Don’t rush during the process and avoid the common mistakes with home loans. We know that sometimes people have a harder time for getting a loan. That’s why we offer multiple different alternative financing options. Our competitive rates, efficient services, and talented team can help ease the process of the home loan. We help our customers every step of the way. We prioritize informing and educating our clients about the home buying process.
3CALoan local mortgage broker provides no tax return home loan which is also called no tax return, without tax return, without tax return, Private money loans for real estate, private hard money loans, bank statement home loan, bank statement loan, equity loan and many more. If you still have any doubt, you can contact us at (818) 322-5626 or (818) 3CA-Loan today! Our client’s happiness and confidence upon closing a deal reflect our excellent quality services. Our specialists will be in touch promptly to answer your questions. We will run you through the details of home loans and hold your hand throughout the process. We only have one aim of helping people first.
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