What is a hard money loan?
Hard money loans are a specific type of asset-based loan that is typically secured by real estate. Loans are backed by non-owner occupied residential real estate or small balance commercial real estate. In some cases, multiple non-owner occupied properties are cross-collateralized in order to secure the needed loan amount.
How fast can you close?
We typically anticipate 14 days to close. More if an appraisal is required, or it’s a particularly large deal. Sometimes, we can close in a few days, but we don’t like to build false hope with unrealistic commitments. It really depends on the deal, but if you can give us at least a couple of weeks, it’s sure helps.
How much cash do I have to have?
We have loan programs that will fund up to 100% of the purchase, and 50% of the rehab. Others which will fund 75% of the total ARV, and many variations in between. “Skin in the game” is always preferable, so you won’t just walk away if things go sideways. But the amount required depends on the sweetness of the deal, and the amount of risk involved.
Can I get a loan in my city or state?
We have lending options available in all 50 states, but understand, there may be one or two options if you’re in Alaska vs. 10-20 options if you’re in Texas.
Can I finance the rehab?
Absolutely. Depending on the structure of the deal, sometimes you can finance 100% of the rehab.
What if my credit sucks?
Don’t worry about it. Sure, we have lending options that are preferable if you have great credit, but if you don’t, that won’t keep you from getting your deal funded.