Hard Money Lenders

What is all this talk about Hard Money?

If you are just starting out in the wild world of investment then you have likely heard about hard money lending once or twice with very little explanation of what it is. However, in order for you to fully understand your options as an investor or as a potential borrower, you need to know what you are up against. To help you better understand this process consider the following basic information on the subject.

Where does the money come from?

Traditionally, banks loan out what is known as ‘soft money’ to borrowers. Lower interest rates, and more acceptable terms are often presented by banks to borrowers. However, qualifying for soft money is easier said than done. A hard money lender on the other hand, will lend funds over to individuals who cannot qualify for a bank loan. Usually, their only requirement is proper equity through property holdings or other valuable assets.

When you request a loan from a hard money lender you are essentially asking an institution or individual to reach into their pockets and fund whatever you are in need of with no guarantee of repayment. This risky investment often comes with extremely high interest rates and strict repayment terms. You can find a lender by searching through a hard money lender list.

A hard money lender usually specializes in property investment, and as such generally only dabbles in higher-end profitable return investments. If you are hoping to make a fast sale on a particular property, you will likely need hard money to do so. The easiest way to access hard money is by using a nationwide hard money lender list.

Once you find a lender the work has just begun. Convincing them to invest in your property might be another matter entirely. If you choose the right investment company, however, your results will be fast money and easy repayment, so choose wisely.

Apply here for your financing today!