A hard money loan is a conventional loan that is obtained from a non-traditional lender. These loans are typically used for property acquisition, refinancing, or in some cases, when a traditional lender cannot be found. The benefits of using a hard money loan include that they are generally more flexible and accessible than traditional loans. You can look for South Floridas #1 Hard Money Lender & Private Money Lending through various online sources.
They can also be more expensive, but this can be offset by the higher interest rate. Additionally, since these loans are not subject to government or lending institution regulations, you may be able to receive a higher interest rate and have more leniency with regards to repayment terms. They are also more flexible than traditional loans in that they do not require a pre-approved credit qualification.
Hard money is a great option for those who have a high cash flow and need access to additional capital quickly. Hard money loans may be the best way for many borrowers to bridge the gap between their current loan payments, and their future payment obligations when the time comes for payment.
Hard money loans are typically secured by equity in your property and have lower requirements than traditional loans. In most cases, hard money loans are provided without a formal appraisal of your property and only require that you be able to prove substantial income or net worth in order to qualify for the loan.