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Posted over 11 years ago

What is Hard Money?

Normal 1424901811 Private Money Beau Eckstein

Hard money loan is basically lent on the equity in a property.

Some will lend to 70% of the purchase price, others will lend to the after renovated value. When it’s fixed up, they’ll lend up to 70%. So there’s all different loan to value ratios that we lend on for a hard money loan.

a business purpose loan for investors

Back in the day, people looked at hard money as for people with bad credit, which is not necessarily the truth

Hard money is for business people that take advantage of a deal that pops up and they have to close in seven days where you couldn’t get a conventional loan for that

I call it “opportunity funding”, yes, there is a premium for it, but for the right situations, it is the best way to go


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