If you’ve decided 2017 will be the year to have a second income by flipping properties, an investment property lender can help tremendously. With these hard money lenders, you’ll receive the money you need for a successful flip while also giving you extra security and an advantage. Unlike traditional mortgage loans, hard money loans are based on the value of the property versus creditworthiness. Your loan is focused on the property you intend to invest in.
Another reason to use hard money loans? Interest rates. Hard money loans offer higher interest rates because the ventures are generally riskier for the lender. This is due to the amount of capital that’s put in, which reduces the amount of capital the borrower invests. Because the property itself is used as protection against defaulting, hard money loans also have lower loan-to-value ratios.
Hard money loans have a turnaround that is practically unrivaled. Real estate investors frequently opt for these loans because the turnaround can be as little as a week or two. An extended closing could mean a missed real estate opportunity, and most investors prefer loans that offer immediate results.
Depending on the lender, hard money loans can last from just a few months to a year, and there are multiple ways to qualify for one. In most cases, there is very little documentation required for an investor to get started.
This update is brought to you by Michael Internoscia, Principal Broker and CEO of hard money lenders Florida company M & M Private Lending Group. We have over three decades of experience specializing in private money real estate loans and we pride ourselves on providing our esteemed clients a service that’s personalized while delivering low rates and closing costs. We also offer mortgage note investments and have worked extensively with brokers and affiliates. Call 305-363-7169 or 954-445-4434 to speak with a lending representative about our Florida private loans or visit our website at http://www.mmprivatelending.com to fill out an application form.