FAQs
Welcome to our FAQ page! As a trusted hard money lender, we're here to answer your questions and help you understand our services. Whether you're new to hard money loans or a seasoned investor, you'll find clear and concise information to guide you through the process.
A hard money loan is a short-term loan secured by real estate, known for its fast approvals and flexible terms.
We do pay attention to the credit background of the deal principals, however a borrower does not have to have good credit to close with us.
Yes, we do require our borrowers to have some cash to settle, pay interest over the course of the loan and be able to deal with cost overruns with the rehab project.
Yes, we do require our borrowers to have some cash to settle, pay interest over the course of the loan and be able to deal with cost overruns with the rehab project.
Yes, we do require our borrowers to have some cash to settle, pay interest over the course of the loan and be able to deal with cost overruns with the rehab project.
Fill out a pre-qualification form, or call or email us with a basic deal summary. We will review and call you back if you email, or begin the conversation immediately if you call. We will listen to what you are looking for from a lender. We will then ask you some questions about the profitability of your deal, your experience, the value of your real estate asset, available cash liquidity and your payoff plan for our loan. We will tell you approximately how much money we think we can lend to you and at what cost. We will also tell you what the process is to close our loan and all the associated costs.
If we think there is a viable deal, we will ask you if we should order an appraisal for you. The first cost you will incur is the appraisal cost (paid directly to the appraiser) which varies with the type and size of the property. You will not be asked for any money from us until we send you a term sheet outlining the entire deal structure and all deal costs.
We do not require any initial paperwork, however it is very helpful to us if you provide a loan application and a deal summary. Even better if you also have a purchase contract and a proposed scope of work. And better still if you also can provide us with some value comparisons for the target property.
We offer a one year loan that is interest only until maturity and no prepayment penalty. Learn more about our loan programs.
No, we only lend to some kind of entity – LLC or Corporation.
Yes.
No, we only lend to investors. All of our loans must be non owner-occupied.
No, we are a 1st lien lender only.
Yes, but only to experienced contractors or builders.
We are a direct lender with control of our own funds and decision making.
Within 24 hours if the submission is complete.
Yes, but it depends upon the particular circumstances of the loan and individual circumstances of the borrower.
Yes, after two successful loans the pricing can be reduced assuming the circumstances of the next loan are substantially similar to the first two.
We do not have a minimum credit score, however, we do examine our borrower’s credit, and look at payment patterns. If your credit is poor we will look for other parts of the deal that make it safer for us.
We do not have set income requirements for the borrower, but the borrower must be able to demonstrate the ability to pay scheduled interest.
Yes.
Yes, but only if you do not live in the house and have no intention of ever living in the house.
$75,000 - $5,000,000. Exceptions available
No, we lend 80-85% of purchase and rehab costs up to a maximum of 70%-75% of after rehab value (ARV).
Yes. But we examine carefully your scope of work and draw schedule.
We concentrate on both single and multi-family residential real estate. We also lend on mixed use commercial properties with a residential component.
We do not lend on primary residences, co-ops, raw land, mobile homes, or extremely rural properties. We lend when we can value the asset with a high level of confidence.
