Hard Money Information And Tips

Hard money loans (also known as private money or private capital loans) can be a great alternative to traditional bank loans. The approval process is fast and the loans are typically easy to get. In addition, hard money lenders tend to not pay as much attention to things like credit scores or problems with a user’s credit history. A lack of income is also not as important as it is for a bank or another financial lender. But are hard money loans really too good to be true? There are a few things to remember before you apply. The fact is, lenders still want to be sure that you’re worth the risk to loan money to, and since they’re not putting as much of an emphasis on the traditional documentation like income, credit score and credit history, they still want to be sure that you’re going to repay the loan. Here’s what they’re really looking for: You’re Willing to Put Some of Your Own Money Up for Investment You can get hard money loans up to 100% of the purchase price, but lenders u

According to a survey done by Freddie Mac, over 80% of those surveyed said that renting was more affordable than owning. A year prior, only 67% of users believed this to be true. The question is, why have nearly 20% of people changed their mind about home ownership? And can anything be done to make home ownership more affordable? The Home ownership Hurdle In a perfect world, renters would likely love to be homeowners, but they simply can’t afford it. In addition, real estate agencies across the country are starting to see the inventory of available homes dry up. With fewer homes on the market, the competition becomes fierce and renters have even less choices. With fewer homes to buy, the demand for rentals increases and landlords raise prices. Thus it creates a constant cycle of trying to save for a down payment on a home, but also having to save enough money for increasing rents. This creates the impression that people are “locked in” to renting, even though there are effort

So you’ve done it. You’ve found the home of your dreams. It’s perfect and everything you ever wanted. Except there’s just one problem. Someone else feels exactly the same way. And when you make an offer, they do as well, escalating a bidding war. In fact, sometimes it’s not just one other person or couple. Sometimes, in particularly competitive real estate areas where the markets are hot and homes are in-demand, you could be competing with dozens of other people or even investors. Getting embroiled in a bidding war doesn’t necessarily mean that you’ll miss out on the home, but it does test the limits of what you want to pay for it. So how can you win out over the competition? Let’s take a closer look: Increase the Amount of Your Down Payment or Earnest Money This strategy, in essence, forces you to put your money where your mouth is. In terms of an earnest money deposit, it shows that you’re very serious about buying their home. Investors tend to flock from home to home just loo