Updated almost 15 years ago on . Most recent reply
Hard Money Loan Terms
Good Morning
I'm curious on what would be your acceptable rates on a hard money loan? Would you also consider a private money loan the same type of loan? What are the rates that are currently being offered?
My cash offer was accepted on a 3/1 in SE Michigan and I was thinking about using a hard money lender to finance the deal. I currently have the cash but would like to remain liquid on this deal to further increase my portfolio. This would be a rental property with a monthly rent between $800-$900. Cash price is $25000 with an additional $2-4k in rehab.
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#3 Real Estate Deal Analysis & Advice Contributor
- Rental Property Investor
- Mercer Island, WA
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#3 Real Estate Deal Analysis & Advice Contributor
- Rental Property Investor
- Mercer Island, WA
Hard money's going to be in the 12-18% range with 3-5 points. Maybe lower down payments than banks. Private money is whatever you and the lender negotiate.