Hard money loans are an excellent option for businesses in our area. These loans are typically used by companies that do not qualify for conventional commercial mortgages or that need specific terms for their loans. The added flexibility of hard money lending arrangements will often provide real help for borrowers in our area.
Types of Hard Money Loans
Hard money lenders offer a range of different types of loans for their customers. Some of the most popular types of these loans include the following:
• Construction loans are designed for developers who need cash to complete their projects. These loans are typically repaid when the property is sold. In some cases, construction loans may be refinanced to provide developers with immediate cash to begin their projects and longer-term financial arrangements during the resale period.
• Fix-and-flip loans allow real estate investors to purchase distressed or dilapidated properties and to renovate these buildings for later rental or resale. Loans used for this purpose are usually short-term.
• Bridge loans offer the advantage of fast financing for acquiring a property for resale. These types of loans are typically used to purchase a property while waiting for the sale of another property or to bridge the gap between the date of closing on one real estate transaction and the acquisition of long-term financing from another source.
Your private money lender will discuss your options and will help you to determine the right options for your needs. By working with an established lender in the hard money field, you will expand your available options for commercial real estate loans in our area.
When You Should Consider Private Money Loans
If you have had difficulty obtaining financing in the past or if time is of the essence for your lending needs, here are some key reasons it might be time to consider a hard money loan:
• These lending arrangements offer real flexibility because the terms can be customized to suit your needs.
• In most cases, private money loans close more quickly and put cash in your hands faster.
• Even those who have been turned down for commercial real estate mortgages in the past may be able to qualify for a hard money lending arrangement.
You may pay slightly more in interest charges for a hard money loan. This is usually offset by the increased speed of disbursement and the added convenience and access these lending arrangements offer for your business.
Texas Funding is an ideal source for hard money loans in our area. We have been a private lender for more than 35 years and offer proven solutions for your business. Our team will work with you to determine the right options for your commercial real estate investments and your other financial requirements. Call us today at 1-800-833-0138 to discuss your needs with us. We look forward to the opportunity to serve you.