A hard money loan is a specific type of asset based loan financing through which a borrower receives funds secured by the value of a parcel of real estate. Hard money loans are typically issued by private investors or companies. Interest rates are typically higher than conventional commercial or residential property loans because of the shorter loan durations. Most hard money loans are used for projects lasting from a few months to a few years.
Get the intelligent, responsible and reliable financing you need through
Financiera Moderna, LLC. Our Hard Money Loan real estate experts use a simple, common sense approach to close your deal as efficiently and effectively as possible. Let us add value to your investment decision-making process.
What can you expect?
– 5-6 origination points
– 15-20 year amortization
– 6 months to 3 year balloons available**
– Interest-only loans available**
– Escrow taxes and insurance
– 1-2 weeks closing
**Depending on After Repair Value (AVR) and deal structure
What is a hard money lender?
A hard money lender is an investor who makes loans secured by real estate, typically charging higher rates than banks but also making loans that banks would not make, funding more quickly than banks and/or requiring less documentation than banks.
What differentiates hard money lenders from bank lenders?
Hard money lenders differ from bank lenders in that they often fund more quickly, with fewer requirements. Hard money lenders are sometimes called “asset-based lenders” because they focus mostly on the collateral for the loan, whereas banks require both strong collateral and usually excellent credit and cash flow from the borrower.