Inland Empire Private Money Lenders
Delancey Street is a premier, and top rated, Inland Empire hard money lender. We provide fast, and transparent, hard money loans for residential and commercial projects. Regardless of how much you need, how fast you need it, or your credit score, we can help. We lend based on the value of your project and whether or not we think your project will succeed.
Real estate professionals who are tired of passing up opportunities because they don’t have the capital to take make a move – should consider a private money loan from Delancey Street. Inland Empire real estate values have room for growth, and real estate professionals looking to take advantage could potentially find a hard money loan that’s convenient for them and will help them meet their goals. If you’d like to learn more about private money loans in your area, read on and consider whether this type of loan may be best for you.
How does a private money loan in Inland Empire work?
A private money loan is simply a loan that comes from an individual investor rather than from a financial institution like a bank. A private loan consists of an agreement between an individual with a potential real estate investment property, and an investor with the capital to finance the investment.
The only difference between a regular loan and a private money loan is that private money loans are not subject to as many regulations and are not given by large financial institutions but rather by individuals. These loans tend to vary widely when it comes to their terms and conditions. They are flexible and are not subject to the harsh regulations typical of the financial industry and its traditional products.
Why do borrowers take out private money loans?
Private money loans come with considerable advantages and benefits. Hard money loans typically get processed faster than traditional loans. One of the disadvantages of hard money loans is due to the fact they have a shorter term than traditional loans.
Another advantage of private money loans is that the borrower doesn’t need to meet strict credit score requirements. Private money lenders don’t do credit checks, or look at your credit history in any way at all. Private money lenders aren’t giving you money because they think you’re a great potential borrower. They are giving you money because they think your project merits the loan. They are giving you funding, because the value of your asset (which is collateral), is greater than the loan requested. In the event you default on your loan, the asset can be sold.
In a lot of cases, borrowers take out private money loans because they cannot be approved for traditional loans. Hard money loans often have higher interest rates due to the increased risk they come with.
What does a borrower need to do to apply for a hard money loan?
Every single private money loan is different. Each private money lender is different. Each situation is different, and you’ll each lender will have different requirements and forms. Bottom line, the biggest thing a borrower needs to do is prove the project will succeed. This business plan should detail the prospective borrower’s ideas for how they intend to repay the loan. If you are buying a fix and flip property, you should discuss how much you’ll need for the property, when you’ll repay the loan, and how long it will take.