Hard Money loan questions for my first flip

[Andrew Nesbitt]

What are the typical terms for Hard money?    I want to get an idea of what the current interest rate is, points,  how much I need to put into the deal and how the disbursements work for the rehab.   Are there upfront fees for the application process?    I'm in CA.

[Andrew Nesbitt]

Quote from @Michael Cashman:

• Hard money loans are short-term loans secured by real estate property.
• The loan amount is based on the property's value, typically up to 70% of its appraised value.
• Interest rates range from 8% to 15%, higher than traditional bank loans.
• Approval and funding are usually quick, often within days.
• Borrowers with less-than-perfect credit scores can qualify, as lenders focus more on the collateral value.
• Repayment periods are shorter, typically ranging from months to a few years.
• Interest-only payments are made during the loan term, with the principal paid in a lump sum at the end.
• Hard money loans are commonly used by real estate investors for property purchases, renovations, and time-sensitive opportunities, or by individuals facing foreclosure or needing temporary financing.

 No ChatGPT answers.  I can do that myself.