Unlike conventional mortgage loans, the primary factor hard money lenders look for is the overall profitability of the deal. Traditional banks place tremendous focus on both the property as collateral and the buyer’s credit history, because they are lending as much as 97% of the property’s value. If the buyer fails to make their mortgage payments, the bank stands to lose money due to the high Loan-to-Value (LTV). — Hard Money Lenders focuses on the property itself. Not on the buyers credit history. Private Lenders will review the value of the property and the extent of rehab that is planned for the home.
What types of projects qualify for a hard money loan?
Hard Money Lenders require their borrowers to form a corporation, rather than borrowing as an individual consumer. It’s important that you make sure your purchase contract is assignable to an entity or the contract is originally in the name of an entity that you have previously formed.
Also, most of all hard money lenders require the property to be non owner-occupied. In other words, for the duration of the loan, the borrower cannot be living in the property covered by the loan. Most hard money lenders do not lend nationwide and many only focus on one state. Fortunately, Taylor Made Lending, LLC. is able to lend nationwide.
Qualified projects are: Fix and Flip, Construction, Commercial Property Loans, Quick Bridge, Land Development, Multifamily Loans and Residential Investment Loans.
Each potential project contains its own set of circumstances, please contact us today and speak to a Hard Money Loans Expert.
How fast can I get a Hard Money Loan?
At Taylor Made Lending, we offer same-day approval and funding as fast as 7 days or less. This is one of the great benefits of choosing a private hard money lender versus a conventional mortgage loan. What is the first step? Contact us today to start the application process.
If you are looking for a hard money lender, talk to an expert at Taylor Made Lending. We are a Hard Money Lender that provides fast bridge financing to real estate investors.