Hard money loans are loans that are secured by real estate property and used in nested transactions. These loans are issued by individuals, companies but not by banks. Hard money loans are usually taken last resort loan or short term loans. It allows you to raise quick money to meet expenses in real estate.
The following guide provides you top reasons why you need to get a hard money loan. They are usually at a higher cost but lower loan to value ratio. Hard money loans offer you a lot of benefits to help you in your real estate transactions. Some of these reasons include,
a. Quick approval.
Hard money loans are approved with a simple and straightforward process. You can hard money loan approved as quickly as 5 to 10 minutes. You can receive the funds within a week or two. Some of the landers grand fund the loan within three to five days.
b. Room for price negotiation.
When you buy a property with all cash, you can negotiate it for a lower price. You can also request a short escrow period and quick closure of the deal.
c. No need for income proof.
You need not submit any proof of income to get a hard money loan. Unlike the traditional bank loan which mandates income proof, a hard money loan does not need any proof of your income.
d. No need for perfect credit scores.
You can get a hard money loan even if you have bad credit scores. It is not necessary to maintain perfect scores to get these loans. You get the loan based on the value of the property which serves as collateral.
e. Buy properties when funds are tied.
When your funds are tied, a hard money loan allows you to buy properties and not miss any great deals. You can get a loan up to 75% of the property value to buy your next property.
f. Flexible lending.
Loans acquired through hard money loans flexible rules and regulations. You can get loads with customized and creative solutions to meet the financial requirements to buy a property.
g. Ignore past issues of the loan and down payment
Hard money loans are approved irrespective of the past issues in down payment. Hard money loans are issued based on recent records and the value of the property you buy.
h. Provides loans when banks deny additional loans.
When banks deny an additional loan, hard money loan comes handy. Investors with multiple properties get easy loans as they can serve any other property as collateral.
The californiahardmoneydirect.net provides fast and affordable hard money loans. We are a direct lender with a proven track of lending hard money for commercial and residential properties. We have vast experience expert knowledge in providing quick hard money loans which you can rely on. You can reach us with a single phone call at 310-736-1576 or by a filled online request form at our official website.… Read the rest