Private lending is an alternative to conventional loans such as you would apply for at your local bank or Mortgage Company. They are also referred to as Hard Money loans. Private loans are short-term loans ranging from 3 months to 3 years. They have a quick approval time line and usually a 55% to 75% LTV (loan to value) rate. This is a great option for residential, commercial, construction, and land investment purchases that are expected to have a fast turn around.
There are a variety of Hard Money loans:
-Hard Money Acquisition Loans - This type of loan is used to acquire real estate using the loan proceeds.
-Mezzanine Financing and Loan - This is a loan subordinate to a Primary Lender. This is a debt instrument, which is paid back at… Continue reading
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money loans
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