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Glendale, California has 34 neighborhoods delineated by washes, streets and mountain ridges. Each neighborhood has rich character and history. In fact, there’s no other city like Glendale in the Los Angeles County. Whether you want to invest in property or buy a home in Glendale, you should be able to do that. However, some banks and credit unions have their own idea of who should own property in Glendale. That’s why banks and credit unions often base their loan approvals on borrowers’ debts, income and credit scores. The way banks and credit unions make loan approvals may leave you locked out of the real estate market. Of course, that’s until now.
Borrowers can Apply for a Glendale Hard Money Loan
A hard money loan is not a one-size-fits-all, standard real estate loan. Instead, it is a private loan from a lending company or private investor. A hard money loan is a short-term loan that gives borrowers a way to purchase real estate immediately. The loan is based on the value of the property.
It’s important to mention that a hard money loan is only for real estate. While banks and credit lenders look at a borrower’s debt, income and credit score to determine loan approvals, hard money lenders focus on the property itself. Yes, they do look at credit scores, debts and income. However, the property is put up for collateral. That’s why the property’s more important than the borrower’s ability to pay regarding loan approval.
The type of hard money loan available depends on the goals and needs of the borrower. For example, a bridge hard money loan is intended for a person who has the goal of refinancing or selling a property quickly. A fix-and-flip hard money loan is for a borrower who purchases a distressed property. Their goal is typically to fix the property, then flip it for a property. Thus, the purpose of the loan is to pay it off with the proceeds on the sale. Some borrowers can’t get financing from a bank or credit union. However, they want to purchase a Glendale home to live in it. They would pursue an owner-occupied hard loan.
The terms of a hard money loan include making monthly payments on the loan for a specific amount of time. The most common hard money loan is 12 months. However, these loans are typically for two to five years. The last payment is a balloon payment, which requires the entire balanced to be paid.
Down Payment Needed to Secure a Glendale Hard Money Loan
Borrowers are required to have cash on hand to secure the hard money loan. The amount varies according to the amount of the loan. However, it requires a 20 percent of the property’s value to secure the loan.
Benefits of Getting Hard Money Loan
Hard money loans have some disadvantages like high interest rates and other fees. However, they have advantages such as:
• Getting money fast.
• Fast approval.
• Money for a real estate opportunity when Glendale banks and credit unions won’t lend
• Flexible loan terms
• Ability to invest in Glendale real estate faster
Seize the Opportunity of Owning Real Estate in Glendale with a Hard Money Loan
You may have good credit, low debts and high income. However, you need money fast. You may have a poor credit score, high debts, income and a down payment. Whatever the situation, we have your hard money loan. Our money loans have a quick decision and funding within less than a week. Seize the opportunity to own or invest in Glendale real estate with a hard money loan. Contact us today.