Advantages Of Using a Hard Money Lender Over a Bank

Advantages Of Using a Hard Money Lender Over a Bank

This Corey from Private Money Utah and I’m going to talk to you about advantages of using a private money
lender over a bank. So why would you sacrifice your low interest rates that you’re
getting at a bank or credit use private money lender or private money lender on your next
real estate purchase? Well I can give you a few. The first one is speed Have you ever tried to get a loan
from your bank or credit union on an investment
property? It takes a while, it can take three or four weeks sometimes longer. Some people yet they’re rare
exceptions but most people it’s going to take longer. Speed is
the number one reason why you want to use a private money
lender on your next real estate purchase. The second reason, flexibility many private money lenders will allow
self-financing. Seller carry, seller credits that you’re not going to be able to
get with a traditional bank lender that is going to be really stringent on
that. Then the final is no hassle. I can’t tell how many people say yes I can qualify for a bank loan or credit union at great interest rate but the hassle of the paperwork, all the documentation and usually they’re going to require an appraisal which can take time itself often up to two to three weeks to get back from the appraiser. So those are your top advantages for using a private money loan or don’t lose your deal. I think that would be my
last advice for you. A story of a first time real estate investor he was able to get a property under
contract a in a really amazing location at an amazing price. He messed around with credit union too long, for the last several weeks. And there were backup offers and I think that the seller just
wanted to get top dollar for that property so when he went to ask for an extension beyond one of the deadlines in the
contract. Guess what solar wouldn’t extend and he lost the property. So that alone right there just kind of points all the reasons
why I would recommend you using a private money loan on your next
real estate purchase. To find out more about private money loans or just want more information click on the button below and subscribe to our channel.

One thought on “Advantages Of Using a Hard Money Lender Over a Bank

  1. Banks are so slow. My residence refinance 60-DAY rate lock expired, because the big name bank dragged its feet processing the mountain of paperwork. My refinance eventually closed and I don't want to go through that experience again. I shudder to think how long a commercial loan would take.

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