Private lenders vs. local bank?

[Matt Sora]

What is the benefit of using hard money lenders when the interest rates are so high? If I have the capital just go to my bank I bank with correct?

[Joe Splitrock]

@Matt Sora most people responding are basically saying the same thing. A hard money lender is for when bank financing is not possible. Banks will have more stringent lending requirements and are less likely to accommodate strange lending situations. Hard money lenders are more flexible but also charge more. Lending is a risk based business, so anything that increases risk will increase costs.