Hard Money IS:
- First position only, always secured with real estate
- 14-18% Simple interest depending on the deal, interest only payments
- 3-6 points, usually paid up front, some lenders will accrue points and even interest payments until the balloon payment
- 0-12 month term, depending on the deal
- LTV 50-65%, at the higher LTV additional collateral may be required
Hard Money IS NOT:
- Based on credit score
- Based on job history
- Based on income of the borrower
- If any of these are positive, by all means, provide the information, but the lending criteria is not based on them
Pre-approvals:
We work with a lender who provides proof of funds letters prior to your submitting offers for properties. This lender, however, does require a credit score of 640 or above, and liquid assets available. Call for details, rates are very competitive.