Hard money loans are the loans offered by non-institutional lenders. There are numerous hard money lenders that provide rapid funding at competitive rates of interest. As a borrower, you'll need to do a thorough examination of the credibility of the lender as well as their business.
But when you conduct your research, you'll see that lenders who provide hard money loans in San Diego can be a huge advantage when you're trying to finance an investment in real estate. Without doubt one of the biggest advantages of a loan is that investors can get the pre-approval within just one up to 2 days provided they have provided the plethora of documents the lender requested.
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The primary focus of lenders who offer hard money is on whether the asset is of good value in the market and that the equity of the borrower is at or above 20 percent. The process of financing can be completed within a matter of one week, compared to conventional loans that could require a month or longer.
If you are looking for the hard-money lenders the crucial question to be asked is how fast they will finance. When you have an individual lender you'll have more flexibility to develop a custom repayment plan. In the case of a major financial institution, you will not be able to enjoy this liberty.
With private lenders you can talk with them and reach an agreed upon repayment plan you believe is appropriate for you. When you apply for a loan at an ordinary financial institution You will have to meet a number of requirements that are set in stone including financial history, work experiences and so on.