Hard money loans are quite popular in this day and age. Normally, the process involved in securing a loan has less bureaucracy involved and this means that one is guaranteed of a quicker turnaround time. This remains one of the key reasons that have made this option highly preferred over using conventional bank financing. Finding the answers to a few basic questions could go a long way in enabling you to find the best Atlanta hard money lenders.
You could get a hard money loan to purchase residential properties, commercial properties and even multi-unit dwellings. What you must understand is that financing can only be secured when dealing with assets that are not involved with other unsettled loans. The majorities of lenders will reject such deals because they often tag along more regulations.
The issue of interest rates is one that must not be overlooked during your investigations. It takes making very keen calculations for you to understand the specifics of various loans and choose something that perfectly fits you. Take note of the fact that the values of a lender as well as the personal circumstances of the debtor may all play a role in determining the interest rates on a particular loan.
You need to do some shopping around in order to understand what the markets can offer. The majorities of experts offer financing at interest rates that fall between 10% and 15%. These rates could even be lower if the agreement involves the rates being applied once the payoffs begin. You need to make in-depth comparisons before you make your final choice.
The payment period of specific financing is another aspect that should not be left to chance. Normally, a period of between six months and three years would be offered, depending on the kind of loan that you need. Beware that longer loan periods often result in higher interest rates.
There are certain requirements that must be met in order for a loan to be processed. Again, the requirements in place will normally vary from lender to lender. In most cases, one will be required to provide a title policy, appraisal of the property involved and insurance. The borrower would also need to provide a personal guarantee by signing certain promissory notes.
There is a plethora of aspects that need to be considered carefully before any prime decisions are made. Consider how transparent a company is with its dealings and even affirm that it has the required credentials. Then again, ensure that you can get the precise kind of loan that matches your needs.
You could get a hard money loan to purchase residential properties, commercial properties and even multi-unit dwellings. What you must understand is that financing can only be secured when dealing with assets that are not involved with other unsettled loans. The majorities of lenders will reject such deals because they often tag along more regulations.
The issue of interest rates is one that must not be overlooked during your investigations. It takes making very keen calculations for you to understand the specifics of various loans and choose something that perfectly fits you. Take note of the fact that the values of a lender as well as the personal circumstances of the debtor may all play a role in determining the interest rates on a particular loan.
You need to do some shopping around in order to understand what the markets can offer. The majorities of experts offer financing at interest rates that fall between 10% and 15%. These rates could even be lower if the agreement involves the rates being applied once the payoffs begin. You need to make in-depth comparisons before you make your final choice.
The payment period of specific financing is another aspect that should not be left to chance. Normally, a period of between six months and three years would be offered, depending on the kind of loan that you need. Beware that longer loan periods often result in higher interest rates.
There are certain requirements that must be met in order for a loan to be processed. Again, the requirements in place will normally vary from lender to lender. In most cases, one will be required to provide a title policy, appraisal of the property involved and insurance. The borrower would also need to provide a personal guarantee by signing certain promissory notes.
There is a plethora of aspects that need to be considered carefully before any prime decisions are made. Consider how transparent a company is with its dealings and even affirm that it has the required credentials. Then again, ensure that you can get the precise kind of loan that matches your needs.
About the Author:
Tom G. Honeycutt is a full-time real estate entrepreneur in Atlanta, GA. Tom helps readers by providing practical and useful knowledge to better understand lending choices. If you are looking for Commercial Hard Money Loans he recommends you check out www.ifundinternational.com.
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