All Forum Posts by: Joshua Talamante

 In CA you can do them however, it is a very NICHE loan program. Very few hard money lenders will do it. But if it is actually a business purpose use (typically a cross collateral loan or Cash out 2nd Mortgage) they will do it. 

I have not seen any hard money lenders lend on a primary purchase. You are better off doing a Non QM loan if you have trouble showing income. 

lending on a primary residence is very different from investment property lending and brings a much stricter regulatory environment. Once you're dealing with an owner-occupied home, you enter the realm of consumer lending, which triggers federal and state laws like Dodd-Frank, TILA, RESPA, and possibly SAFE Act licensing requirements. Interest rates, fees, and terms must comply with usury laws, and detailed disclosures such as APR, payment schedules, and right of rescission may be required. You may also need to verify the borrower's ability to repay, including income and debt analysis. In some cases, loan originator licensing is necessary unless you partner with a licensed mortgage professional. If you're serious about exploring this, it's wise to work with a real estate attorney who specializes in consumer lending or collaborate with a licensed mortgage broker to ensure everything is handled compliantly. Happy to connect further if you want to talk through the details.