Depending on the property we can go as high as 75%.
From 7.99% to 12%
We will accept any FICO.
Generally our minimum loan amount is $50,000.00 however if you have a smaller loan please contact us with the details.
Our maximum loan amount is $20,000,000.
We will always take a look at an existing appraisal but all appraisals are subject to review.
Credit is not an issue, but having a plan on how you will repay the loan is required, and it should make sense. Our funding criteria is based on equity in the property, not credit. We also make loans to corporations and entities with no credit history.
There are many advantages to using hard money, including some listed below:
- Fast Underwriting - We can analyze a transaction and issue a Pre-Approval in ten minutes. We can typically close the loan in less than 14 days.
- Flexible programs - You can use the equity that you have built up in other real estate to help you purchase and renovate your next project, instead of having to use large amounts of your own cash.
- Experienced Real Estate lending professionals - We have been in the California lending field for over 20 years. We can help guide you through the process and avoid many of the normal pitfalls.
- Access to capital - Conventional banks have tightened up on their lending, making it difficult or impossible to come up with the extra funding you need to get your deal done. We are asset-based lenders who are focused on the real estate and the viability of your project as opposed to credit score or the collapse of the sub-prime market.
- Industry contacts - As long-time investors in California, we have many industry contacts to help you along the way. We have pre-approved general contractors, relationships with conventional lenders to help you re-finance, and recommended real estate agents to help you maximize the value of your investment and avoid painful pitfalls along the way.
Exit Strategy - It is imperative you have a plan of how to repay your loan.
We typically close our loans in 14 days or less.
From 2 points
Each transaction & degree of risk is different. Once we evaluate the transaction we will give a firm quote.
We currently lend on Non Owner as well as Owner Occupied residential, Commercial, Mixed Use and Rehab projects
In most cases yes however with substantial equity the appraisal requirement may be waived.
We can pre-approve you for our loan program prior to placing a property under contract.
Hard money is a term used to describe any financing option which is an alternative to commercial bank lending. For reasons of timing, deal complication, or risk, hard money lenders can step in to provide funds where conventional lenders cannot.
It is important to use hard money correctly. Hard money rates and fees are typically higher than conventional lenders Hard money is meant to be short term financing. Typical loan term of 1 - 5 years.
While underwriting is based on many factors and varies on a case-by-case basis, our general criteria include the following
- Financially Successful Project - We want you to make money on the deal. If the numbers make sense we´ll lend you the money. If we don´t feel we can help you on this one we will give you a timely answer so we don't hold up your project.
- "Skin in the Game" - though we are eager to work with you and be a financial "partner" on your real estate investments, it’s your deal and you reap the upside. We just get our money back. As a result, we need to be comfortable that you are motivated to see the project through completion.
Hard Money Terminology
Statement of value as of a certain date. It is prepared by a licensed and/or credentialed expert who has complied with the training requirements of the state and/or one of several recognized appraisal institutes.
One to whom a transfer of an interest is done.
Written document by which an interest, other than real property, is transferred from one entity/person to another.
Title that is not encumbered or burdened with defects.
Closing Costs Fees
Charged to a purchaser by a bank, lawyer, etc. for services related to a sale, such as a title search, appraisal, etc.; any expenses over the purchase price of a house, land, business, etc., that is paid by the purchaser or seller at the completion of the sale.
Any claim, encumbrance or defect that contradicts the title record as understood by the property owner or interested party.
Dependent upon an uncertain future event or condition.
A written document that transfers ownership of land from one party to another. The seller is called the "grantor" and the buyer is called the "grantee". Deeds may be of many kinds. Depending upon the language of the deed, the legal capacity of the grantor, and other circumstances.
Deed of Trust
A three party security instrument conveying the legal title to real property as security for the repayment of a loan. The owner is called the "Grantor". The neutral third party to whom the bare legal title is conveyed is the "trustee". The lender is the "beneficiary". When the loan is paid off the trustee is directed by the beneficiary to issue a deed of reconveyance to the Grantor, which extinguishes the trust deed lien.
Due on Sale Clause
Provision in a deed of trust calling for the total pay-off of the loan balance in the event of a sale or transfer of title to the secured real property.
An impartial third party that acts on behalf of either seller/buyer or borrower/lender in carrying out the principals' instructions through to an eventual "closing". Escrow acts as the custodian for the documents and funds involved - and makes disbursements, delivers documents and effects the consequential changes to the title record of the subject property.
First trust Deed
A lien on real property which is superior to any other lien of record.
A deed used extensively in several States to transfer title. There are a number of implied warranties attributed to it, the main ones being that the grantor has the right to convey the property, and that the grantor hasn't encumbered the property any more than already disclosed. The grantee may hold the grantor liable if the title proves to be defective.
- Private funds used for the purchase of real estate by investors
- Financing given to individuals who are unable to qualify for standard financing and the amount is typically based on the current equity in the home. This funding comes at a higher cost (hence the term "Hard") and will often have time limits attached to the duration of the loan.
A claim against real property.
The current value of property as determined by exposure to offers from willing buyers in the open market.
Notice of Default
The first phase of the two step foreclosure process in most States. The notice, which is prepared and either recorded, mailed and/or posted by the foreclosing trustee, contains particulars regarding the default in payment, the affected deed of trust, etc. The default period time to allow the debtor time to bring loan current or payoff.
Are an "upfront fee" on a loan that is incurred at the time of the loan. Each point is equal to 1% of the value of the loan. The points are often wrapped into or included in the loan to reduce the borrower´s upfront fees.
Insurance that protects the lender (lender's policy) or the buyer (owner's policy) against loss arising from disputes over ownership of a property.
A check of the title records to ensure that the seller is the legal owner of the property and that there are no liens or other claims outstanding.
Transfer of ownership
Any means by which the ownership of a property changes hands. Lenders consider all of the following situations to be a transfer of ownership: the purchase of a property "subject to" the mortgage, the assumption of the mortgage debt by the property purchaser, and any exchange of possession of the property under a land sales contract or any other land trust device.
State or local tax payable when title passes from one owner to another.
A federal law that requires lenders to fully disclose, in writing, the terms and conditions of a mortgage, including the annual percentage rate (APR) and other charges.
A fiduciary who holds or controls property for the benefit of another.
A company that specializes in examining and insuring titles to real estate.