Chosen by Asker

Talk to a broker. We've all got hard money lined up, and I'm always looking for more. Hard Money lenders will loan an absolute maximum of 75% of the appraised value of the property as it sits - and they are not generous appraisals. In other words, you're going to need an absolute minimum of 25% of the purchase price, plus 100% of the cost of rehabbing. You haven't got this money, or if you don't want to put it in, you are wasting your time. Only idiots make those kinds of loans, especially in the current market. And hard money lenders are *not* idiots. In fact, they are probably the hardest hard noses you will ever encounter. Nobody should deal with hard money if they have any other choice.

Source(s)

Loan Officer and Realtor in San Diego. Website www ...

by Searchlight Crusade

3 years ago

Asker's Rating: 

Hard money lending can be a painful process. An easier way to get the funds for a rehab house is to cash out out on your primary residence. If you have the equity the rates will be lower and then you can pay it off when you sell the rehab project. Yes, you can get hard money lending but the rates are usually very high. Let me know if you want more info.

by mortgage_info_4u- 3 years ago