Hard money lenders actually want what you want – some great investment deal. Keep in mind that investing consists of setting aside time and/or cash in order to generate a lucrative return. If you remember such a concept, it is amazing just how extensive the investing field really is. Apartment complexes, tall buildings, condominiums as well as luxurious office spaces can turn into a reality, instead of being only a dream!
In case, as an example, the credit rating that you have is hurt and you are under pressure for time, borrowing from a hard money lender for a chance at some great commercial property is investing really.
On the other side, when some altruistic, financially stable professional finds that they will be able to realize a good return by assisting individuals just like yourself to obtain their needed financing so they will be able to build a real estate domain, even when all other options have failed, that too is investing!
Naturally, while these hard money lenders work to decide whether or not you have a worthwhile opportunity, they will wish to find out other things, and this includes the following:
? While credit rating is not really that important to hard money lenders, they will want to be assured that you will be able to actually repay them. In other words, you should have your bank statements for not less than six months, the W-2s you have over the last few years, and also the collateral you are offering should you default on what has been agreed upon.
? Generally, the Atlanta hard money lender is going to implement diligent measures for precisely assessing the value of a property that you are looking to purchase. Besides the appraisals of a third party, many of them are going to require that some private on-site assessment is carried out. Since these lenders do not like being stuck dealing with some delinquent property, they have to determine whether it can be profitable liquidated fast. This is primarily the reason why the loan to value ratios of hard money loans is usually more stringent compared to traditional financing options.
? A hard money lender is going to require active ‘due diligence” participation in your loan portions. This means you will have to perform your homework in ensuring that the property has no other suits or liens associated with it. It any is discovered, they will need to be handled before the transaction can proceed any further.
? Lastly, these lenders need to be confident about your commitment as well as professionalism. You will be able to help improve the confidence they have by promptly answering their phone calls and also responding to their inquiries in a manner that is timely, as well as by actually carrying out those things you have promised to do.
Really, a typical Atlanta hard money lenders are just like the rest of us. They are looking for an excellent deal. They are attracted to opportunities that will generate some good profits. They like to handle secure transactions. They prefer borrowers whom they feel confident with. They wish to build empires too and, together, the two of you will triumph.