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   JUMBO LOANS

Top 6 Benefits of Hard Money Lending


paperfree Aditi Bansal 29:14
Published on Thursday, May 04, 2017

Most investors begin by building residential portfolios by sourcing for funds through traditional banks to get direct ownership. However, owning property directly isn’t the only way that you can build wealth through real estate.

tags  #Hard Money Loans  #Lending Networks #No Transactional delays

 

One of the most reliable ways of making money is by investing in real estates, and there are different ways that you can follow to invest in this industry. Most investors begin by building residential portfolios by sourcing for funds through traditional banks to get direct ownership. However, owning property directly isn’t the only way that you can build wealth through real estate. You can choose to use a more passive strategy through commercial hard money loans lending.

Commercial hard money loans are short-term loans that are secured by real estates. These types of loans are funded by private financiers like you, versus conventional lenders such as banks and other financial institutions. Commercial hard money loans are often secured by tangible real estate properties and are funded for a period ranging from six months to 18 months.

Most people are attracted to this investment niche because a commercial hard money lender can earn high interest rates without having much knowledge or effort when working with an experienced commercial hard money loans lender network. This type of investment isn’t just an alternative investment for seasoned real estate investors. Commercial hard money loans lending can be a profitable venture for interested investors from any background and who want to grow their portfolio with alternative investments.

6 Benefits of Becoming a Commercial Hard Money Loans Lender and Partnering with a lending Network

  1. A commercial hard money loans lender doesn’t have a waiting time, red tapes, and transactional delays that banks experience.
  2. You can start lending immediately. Because real estate funding is always in high demand by real estate investors, when you work with a reputable commercial hard money loans network, you can start lending real estate projects immediately.
  3. Because you’re the bank, approving a project becomes easier than banks. Traditional banks have extremely stringent approval requirements, and most investors don’t qualify. Therefore, when you join a commercial hard money loans lending network, you’ll be able to finance projects that have been vetted carefully before being approved. This means that you’re not limited to approval.
  4. Commercial hard money loans are often short term.
  5. As a commercial hard money loans lender, you’ll be able to save time, headaches, and stress by partnering with a commercial hard money loans lending network. By joining a network, all loan applications will be pre-vetted by experienced real estate professionals, and you’ll also choose the projects that you want to invest in and that met your financial goals. You can do all this without meeting with the investors, no research, and without navigating the underwriting deals.
  6. The biggest advantage of becoming a commercial hard money lender is your input. With a lending network, it will reduce the front and back end demands on your behalf. You won’t also have to collect money yourself and go through the trouble of chasing checks. The network will also identify loan opportunities for qualified investors. The investor has to pay an agreed interest on your money and then the network takes care of the due diligence for you.

There is no doubt that the commercial hard money business is lucrative. However, if you aren’t an experienced real estate professional, it's advisable that you join a commercial hard money loans lending network to be on the safe side.



This page with a focus on Hard Money Loans, Lending Networks was shared by Aditi Bansal.

 
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