Hard Money Loans from Coastal La Jolla Funding Group

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Hard Money Loan Definition:

A hard money loan is a short-term bridge hard money loan that is used for acquisitions, turnaround situations, foreclosures and bankruptcies. Interest rates, although high on business hard money loans, are less costly than taking on a financial partners or losing the real estate opportunity altogether.

Who are Hard Money Real Estate Loans Ideal for?

Hard money real estate loans are ideal for borrowers who are unable to obtain funding through a conventional source. Hard money loans can be used for construction hard money loans, bridge hard money loans hard land loan money and personal hard money loans.

Hard Money Loan Lenders

All hard money loan lenders are different. The hard money loan lenders we refer clients to will usually consider income producing properties such as apartments, condo/co-op conversions, retail/shopping/strip centers, mixed use properties, industrial, office buildings, hotels/motels, medical, mobile home parks and restaurants, as well as non-income producing properties such as land acquisition, development and construction, bank workouts, foreclosures and bankruptcies.

How long do hard money loans typically last?

Hard money loan terms are typically no longer than two to three years. The reason is simply that a longer term becomes too expensive for the borrower. With hard money loan lending, the goal is to have the borrower in and out of the hard money loan as quickly as possible. The hard money loan lender will analyze each transaction during the due diligence process for "good risk" -- to be sure that a property can be repositioned for conventional refinancing or sale within one or two years.

Construction Hard Money Loan Equity

The amount of equity needed for a hard money loan depends on the quality of the real estate and the hard money loan lenders themselves. The hard money loan lenders of Coastal La Jolla Funding Group prefer at least 10% to 25% equity.

If you would like to apply for a hard money loan through the Coastal La Jolla Funding Group, click on our hard money loan application.