Hard Money Terms FAQ
We arrange private hard money real estate loans for residential, commercial, apartments, mixed-use and other types of properties. We offer mortgage loans for "fix and flips", purchases, fast cash-out, refinance, repair, short-term and other purposes.
The smallest real estate loan we offer is $30,000, however, on a case-by-case basis and with special circumstances, we can arrange smaller sized loans.
We arrange loans as large as $30,000,000. However, most loans we arrange are under $1,000,000.
We will lend on most property types, single family homes, condominiums, townhomes, apartment buildings, commercial, warehouse, offices, land, mixed-use, to name a few.
We can lend up to 100% of the purchase price for "fix and flip" purchases. We typically don't lend any higher than 80% of the appraised property's fair market value for most refinances, 1st, 2nd and 3rd mortgages, but in most instances, we lend up to 65% of the value. Every situation is unique and we lend on a case-by-case basis.
For refinances we typically stay under 70% LTV. On most purchases, we lend up 65% to 75% of purchase price and on some occasions, we can lend up to 100% of the purchase price with profit sharing arrangement in place.
Yes! We can lend up to 100% of the purchase price for investment "fix and flip" projects. We will also enter into partnership and profit sharing arrangement.
We lend all over the entire State of California and we can sometimes lend in some other Western states.
Most of our private investors require that each buyer have 10% to 20% of the purchase price as down payment. However, we have some investors who will lend up to 100% with one loan or a combination of a 1st and 2nd mortgage.
We have a handful of private investors who will consider arranging a construction loan. The majority of our private investors will require that the land is paid in full and that the borrower is close to the point of pulling permits. For owner-occupied construction projects we can payoff some existing debt, but the investor must be in a 1st trust deed position. We can arrange 2nd and 3rd trust deeds for construction completion.
Yes. We can arrange 1st, 2nd and 3rd mortgages to complete some unfinished construction or rehab projects.
We arrange 1st, 2nd and 3rd position trust deed mortgages.
Yes.
We will lend no more than about 25% of the fair market value for vacant land.
We offer note hypothecations and collateral loans.
We only arrange real estate loans and we do not make personal, business, equipment or other loans that are not secured by real property or a trust deed.
No.
We charge as little as 1 point and the points charged may increase depending on the loan amount, the type of loan and many other factors. We are very competitive and typically price our loans cheaper than our competitors. We will provide you a written good faith estimate or conditional loan proposal.
We can arrange loans for properties owners in foreclosure. Every situation is unique, however we do have a very small handful of investors who consider lending to property owners in foreclosure.
Yes. We can make loans on properties that are vacant and we can lend on properties that are in disrepair.
Our office is located at 15820 Whittier Blvd, Suite E in Whittier, CA 90603. We are approximately 30 minutes Northwest of Anaheim and Southeast of Los Angeles.
We are licensed mortgage broker. We have access to millions of dollars of private investor funds and can fund our loans faster and price our loans more competitively than most direct lenders. In private hard money lending, who you know and who will lend where, is the name of the game.
We offer private hard money loan rates as low as 6% for 1st position trust deeds. Our 2nd position trust deeds rates start at around 10%. We offer apartment and commercial loans with rates into the 5% range. Every scenario and lending situation is unique.
We can fund loans in as little as 5 days, however most loans take about 10 to 14 days from start to finish.
Most of our loans do not have prepayment penalties.
The owner of our company has been arranging private hard money loans for over 18 years.
Yes we can lend to most entities.
Yes we can lend to borrowers with poor credit and we do not have a minimum FICO score requirement.
Yes.
Yes.
Yes.
Yes. Most of our loans are based on the property and its equity. We will typically require that the borrower provide proof of their ability to repay the loan such.
We pay generous commissions to licensed mortgage and real estate professionals. We will only pay a licensed broker and will require a copy of the individual or corporate license.
Most of our loans require the borrower to make monthly payments.
Only in a few rare situations will the loan not require monthly interest or principal and interest payments to be made.