Finding fast, dependable funding sources for real estate investment deals has become significantly more difficult over the past decade. Real estate developers in need of investment capital should look beyond a conventional lender and discover the advantages of a private, knowledgeable and experienced lender.
Conventional Lenders are ideal for the average home buyer who will purchase a single-family home with a down payment and a conventional payment schedule. Banks, credit unions and other traditional sources of real estate investment capital are highly regulated by state and Federal laws. They are also closely monitored by both their shareholders and executive boards and almost completely unable to fund a deal that is, in any way, unusual; including multi-unit properties, development deals or other complicated investment opportunities.
Hard Money Lenders are the obvious choice for any real estate developer who needs more than just a check. They are typically seasoned business people, often with a specific real estate background, who understand the need for reliability, versatility and speed; getting the deal done fast rather than staying within the appropriate guidelines. Of course, their real estate deals are covered by the same safeguards as conventional real estate loans but, in terms of unusual investment deals, hard money lenders are infinitely more flexible than standard lending institutions.
In overall terms, this fact means that short-term, hard money loans can be even more competitive and cost-efficient than ones from conventional lending institutions. Before wasting time, energy and resources on finding and developing a relationship with a conventional lender, real estate developers should turn to a Hard Money Lender.