Investor · Chapel Hill, NC · Member since 2016 · 73 posts · 14 votes
I was curious as to how hard money lenders make the decision on how much they will lend to a investor? Is it harder or easier to go with a hard money lender? Do they run your credit? I have no experience at even talking to hard money lenders.
Call me. I'd be happy to speak with you. We lend in North Carolina and 33 other states. We have great programs for every aspect of the real estate cycle including cash out refi's with only 30 days seasoning. I'd be happy to explain how it all works. Look forward to speaking with you!
Call me. I'd be happy to speak with you. We lend in North Carolina and 33 other states. We have great programs for every aspect of the real estate cycle including cash out refi's with only 30 days seasoning. I'd be happy to explain how it all works. Look forward to speaking with you!
@Chris L.I would really appreciate that in the future. I actually have financing for my next property though. I was also thinking about investing in Maryland in the future once I become a little more seasoned.
I just wanted to know some pros and cons to hard money lending so I will know my options in the future.
This is a pretty involved detailed question but they typically have a few metrics they lend on. Usually the lending amount is a percentage based on the LTV (Loan to Value) or LTC (Loan to Cost). Most hard money lenders in my area are lending around 80% and down.
Most banks are going to require 20-25% down for an investment property. There are pros and cons to both types of lenders. While banks will lend at lower interest rates they tend to have stricter guidelines and act slowly. They are also more strict about the types of properties they lend on. Hard money has the ability to fund deals very quickly and is more flexible about the type of properties they lend on. With hard money however you will pay a higher borrowing rate and there will be costs to borrowing the money.
No problem. You ever want to chat I would be happy to answer any questions you have. Some good things going on in Maryland right now. Good time to be in the market!
We lend in both Florida and Georgia? Please feel free to give me a call or send me a private message. I would be happy to answer any questions or review any scenarios. Look forward to speaking with you!