What is a Hard Money Lender? #military #loan

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Answers ( 25 )

A hard money loan is a short-term, higher interest, asset-based loan, that provides the funds for acquisition and repairs on investment properties.

Pros – leverage by borrowing money for both the repairs and acquisition (typically up to 70% of the after repair value (ARV) for flips and 75% ARV for rentals).

Cons – more expensive than traditional loans, but a conventional lender will only lend you 80% of the purchase price (all the repairs are out of pocket for the investor).

When shopping for a hard money lender, be sure to ask what all the fees and terms are. Here is link with our loan programs – http://www.investmarkmortgage.com/programs.php

Please note: unlike other hard money lenders, we do not accrue any interest on any funds withheld in a repair escrow – only the amount of the loan that has been leant out.

Other costs related to our program are:

A hard money loan is a short-term, higher interest, asset-based loan, that provides the funds for acquisition and repairs on investment properties.

Pros – leverage by borrowing money for both the repairs and acquisition (typically up to 70% of the after repair value (ARV) for flips and 75% ARV for rentals).

Cons – more expensive than traditional loans, but a conventional lender will only lend you 80% of the purchase price (all the repairs are out of pocket for the investor).

When shopping for a hard money lender, be sure to ask what all the fees and terms are. Here is link with our loan programs – http://www.investmarkmortgage.com/programs.php

Please note: unlike other hard money lenders, we do not accrue any interest on any funds withheld in a repair escrow – only the amount of the loan that has been leant out.

Other costs related to our program are:

$150 draw fee for each draw from funds held in a repair escrow (this covers the cost for a real estate professional to go out and ensure repairs were professionally completed)

approximately $375 for a full appraisal from our pool of third party certified appraisers

we may require a survey is there is not one already – these normally cost between $350 – $450 for a single family house in a suburb





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