Do Private Commercial Mortgage (Hard Money) Loans Make Economic Sense?
Article by Glenn Fydenkevez of MasterPlan Capital LLC
Private, often called “hard money”, commercial mortgage loans typically carry interest rates of between 9.99% – 14% and charge origination points of 2% – 5%. Rates and terms like these mean that hard money can easily have an APR of over 17%. And, as a professional in commercial real estate finance, I can assure you APRs in that range are not at all uncommon.
So the question becomes, at those kinds of rates, when does hard money ever make sense? The surprising answer is that, when the situation calls for it, hard money makes a-lot of sense.
Commercial Mortgage Loans – How Fast Can a Hard Money Lender Close?
Article by Glenn Fydenkevez, President – MasterPlan Capital LLC
If you find yourself in a time sensitive situation, and you need a commercial mortgage loan fast, chances are you’ll have to turn to a private commercial mortgage lender, otherwise known as a ‘hard money†lender.
As you surf the internet or flip through pages of a real estate magazine in search of a lender or broker, you’ll see many ads that boast super fast closings and promise you your funds in 7days or less.
Commercial Mortgage Loans – What Hard Money Lenders Look for in a Deal
Article by Glenn Fydenkevez – President, MasterPlan Capital LLC
With conventional lenders caught up in the credit crisis and unable to make loans, commercial real estate investors and developers are turning to private, often called “hard money” commercial mortgage loans. But even private lenders have tightened their underwriting criteria, and hard money is more difficult to get than it used to be.
Anyone considering applying for a privately funded commercial mortgage should understand just what hard money lenders look for in a deal.
Is It Probable To Save Money When Acquiring A Mortgage Loan?
Have you been pondering getting a house loan to purchase a house with? Pondering if it happens to be feasible to conserve funds? In this particular short report, you can expect to soon discover the data you may need in order to obtain the financial savings!
Conserving dollars when acquiring a mortgage loan is possible. You’ll find all distinct solutions to preserve.
Get Best Mortgage Loan Rates and Save Money For Other Purposes
And yes, you can do a big improvement to get the best mortgage loan rates. Especially the first time borrowers should calm down their enthusiasm and to concentrate to get a proven assistant, who could guide them through the process of the first mortgage home loan.
1. The Credit Score Influences On Your Chances To Get The Best Mortgage Loan Rates.
