Hard Money Loans have many advantages that aren't normally offered by large banks and lending establishments. To be able to get a loan, a person must meet a brief list of requirements, whereas banks have a variety of set-in-stone conditions that must be fulfilled. This could include financial history, credit reports, and more.
The whole process could be lengthy and the borrower, in the end, could not even be approved at the end. However, the loans offered by the lenders from wilshirequinn.com/seattle-hard-money-lenders are simple and easy to understand. If the lender determines that the borrower's desired real estate investment is of outstanding value and that the borrower is able to provide at least 20% equity in the transaction, it's likely that the buyer is qualified.
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Fast Loan Approvals: This means you could be approved much faster than traditional banks and financial institutions. This can take as long as 3-4 weeks. In most situations, borrowers will get approval and funding within a week – particularly when the documents requested are submitted promptly.
The primary reason why hard money lenders can accept loans swiftly is that they are able to provide a shortlist of documents required as well as the small size of the business, which doesn't need to contend with the red tape of corporate banks have to deal with. The leniency of credit history is greater. It is also more flexible when it comes to your credit history.
If you're applying for loans from the top institutions one of the major aspects, they'll look at are your credit. For lending to hard money companies, the credit history isn't as important as the worth of the asset as well as the equity of the borrower.