A hard money loan is really different from the common loans
you've got from a bank or huge lending companies. This type of loan only gives
a minimal percentage of the value of the property for which you are going to
use the loan. For instance, if you're planning to invest in a house with a
$500,000 value, a hard money lender may only be able to offer you up to 80% of
that amount. Hard money loans also contain a high rate of interest. Because of
the fact that the people offering these are commonly private individuals and
other private money lenders consisting of a group of several individuals or a
very small lending company. Finally, hard money loans are short-term loans,
with some set at only two years or less.
Why need to have a Money Lender in Maryland?
Even with the above apparently unfavorable facts about hard
money loans, there are circumstances where you will need one. One of these is
when you are investing on real property. Real estate players know how essential
it is to get the best deals and offers due to big returns they entail. If the
property is provided low for a short period, approaching a bank for a immediate
loan is very hopeless, as their process usually takes long. In addition they
require a number of documentations that you will not be able to provide in
time. A hard money lender can be your response to this. He can provide you the
cash within a week as long as you qualify. For this reason it is called hard
money loan in the first place, because a hard money lender provides you the loan
that might be a challenge to get from a bank. Even if you have a poor credit
score, private lenders will still be willing to provide you with the loan
amount considering that collaterals are necessary for this type of loan.
How to Find Them?
If you require a hard money lender in Maryland, there are
various ways to find one. Although hard money loans are applicable for various
purposes, their main use has been in funding real estate, so you can process a
local real estate investing group to meet private mortgage lenders. They are
either participants in such groups or a member can recommend one. You should
consider asking a fellow real estate investor who have previously dealt with
private lenders. Another way is to ask the local banker. Since these banks are
not able to give you the loan you need, they could recommend someone who can.
Finally, you can look at online. Hard money lenders in Maryland have their own
websites, and there are also web lending directories that will actually make a
list of lenders in the area. By this, you can contact a lender that provides
the kind of loan you really need, could it be for apartments, condominiums,
land, equipments, or subdivisions. Here, some aspects to let you understand how
your choice of hard money lenders should really be.
a. Hard Money Bankers- Probably the most trustworthy money
lenders for your real estate investments. They work in several countries such
as Maryland, Washington D.C. and Virginia.
b. Advance America Property- Familiar in providing hard money
for different kinds of real estate option. Visit them to know their experience
in hard money lending for over two decades now, and you may get in touch with
them during their business days.
c. Dominion Group, Baltimore- Being the largest money lenders
in the city around Baltimore, they are quick and fast in supplying your hard
money just for short term real estate projects. They show beneficial guidance
for their borrowers along with their extra-ordinary market evaluating skills.
How you can Be eligible?
Private lenders commonly require as collateral the property
for which the loan is acquired, so better approach them with a very good
property concerning worth, safety, and marketability. Documents to prove your
assets, income, good credit standing, information about the property, and
experience with real estate can work well in your favor in case you show them
to your lender for a higher opportunity of approval.
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