Beginner’s Guide to Hard Money Loans

Source Capital Funding is a direct premier  hard money lender in California, Arizona and Minnesota. There are times when banks will reject your loan applications. They have a lot of red tape to go through and lots of regulations to follow. That is when you start looking elsewhere. You need the money to buy a house, rehab it, develop your project, or you want to buy one just as a real estate investment, whatever the reason, you need the funds to make it happen. Banks are not only place where you can get a business purpose real estate mortgage loan. Its not easy to find a good hard money lender, one that has the best reviews and is trustworthy.

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Hard money lenders like us, make sure that you make a profit out of your investment the same way we do. When you borrow money from us it is toward a solid investment that will turn around and make you money. There is always a way to get the help you need, and Source Capital will always be there for you. You will file an application, we will process and underwrite, after which, as soon as the Deed of Trust is recorded, you get the funds. You need to put up real estate collateral with us and go through the terms and conditions customized to your financial situation. You can get as much as $5,000,000 in loan to realize your dream.

When you are applying to a hard money lender, make sure that you present yourself in a way that will inspire confidence. Get a folder and divide it into sections where you can put in all the documents that your hard money lender may require. Include sections and documents such as:

About Me: In this section include your FNMA loan application, a brief work resume, copy of your driver’s license and a list of references. This section is meant to help them to get to know you better.

Purchase Contract: Include a copy of the purchase contract with addenda.

Insurance: Put in a copy of the insurance that your insurance provider has agreed upon here.

Appraisal of Property: Include at least one real estate BPO (broker’s price opinion) in this section. If you do not have a real estate agent, we will recommend one of our brokers to help you get the appraisal.

Title: Add a copy of the title commitment here.

Pictures: Add detailed and color photos of the property, interior and exterior, in this section.

Inspection: If you already had an inspection done for your property, add the report in this section. If not, we will have one of our collaborators do it for you. An inspection is essential before purchasing a property so that you get to know what repairs you may have to take on in order to live in or sell the house later.

Estimate of Repairs: After inspection, you will get to know the approximate amount you will have to spend on the repairs. Get a licensed general contractor put in an estimate and include a copy of his license here.

Cost: Create and include a spreadsheet containing your purchase costs, holding costs, repairs, Realtor fees, closing costs, etc.

Project Timeline: Include an outline of your construction timeline here.

To wrap up, after you submit this portfolio, a hard money lender may ask for some other documents and have you fill up some forms. This professional approach will guarantee you time and consideration from any hard money lender and help you get the loan you want.

 

Where to Find Best Hard Money Lenders?

[vc_row][vc_column width=”1/1″][vc_column_text]Need help with cash? Try Source Capital, a trusted name in hard money lending. Started in 2006, Source Capital provides hard money loans on the basis of equity in property in the United States. The cash loans are secured without much nibbling into the borrowers past and it is extremely fast. Processing a loan within 7 days is our forte. Source Capital is your friend if you seek personal loans. The funding is done directly as we understand your needs in personal situations.

Hard-Money-Loans

Source Capital provides direct hard money loans in California, Arizona, Oregon and Minnesota. We are a one stop solution for hard money loans. Hundreds of borrowers in Arizona, brokers in California and investors in Oregon and Minnesota have been able to generate funds and hard money loans from Source Capital. The licensed hard money lending process is extremely private and you are funding according to the real worth of your estate.

The presence of Source Capital in different states is a result of commitment towards its clientele. Source Capital is one of the highly reputed hard money lenders in Arizona, where so many quick hard money loans have been processed. More than $650M has been funded throughout Arizona and more loans are being processed every day. Many mortgage broker trust the brand for financing help. Get hard money loans funded in and around Arizona, Phoenix and even areas like Tempe, Peoria, Chandler, and Scottsdale etc.

Coming to the golden state, California hard money lending is quite useful. Source Capital is head quartered in San Diego and its direct money lending has helped so many borrowers. California hard money loans have been processed since 2006 by Source Capital and the clientele has grown significantly.

On a personal note, a partner of Source Capital comes from the land of 10,000 lakes. Many borrowers and real estate professionals secure hard money loans in Minnesota from Source Capital. The love for the state is quite clear as a record funding of more than $100M is already done in the state.

Need hard money lenders in Oregon, Source Capital is there too. Yes, the beaver state is also the real estate market that Source Capital has been financing. All around the state faster processing of loans is possible because real estate hard money loans are given by Source Capital.

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Source Capital Direct Premier Hard Money Lender

Source Capital is a specialist in providing residential and commercial real estate hard money loans in the California and Arizona. We approach financing with private capital that allows speedy and flexible processing more than banks. You can secure loans by signing of deeds of trust on real estate. The management team has a legal counsel with decades of real estate experience, all of which helps people to rely on the experience and knowledge of Source Capital. In case of any assistance or query, please call us today at 888.334.6636.

Source Capital has a strong commitment to their clients, to business ethics, post-funding management and underwriting. Source Capital offers loans to various property types, both for residential (Single family, Multi-Family, Owner-Occupied) and commercial (Office, Retail, Industrial, Mixed-Use, Apartments) use.

Below is a list of Source Capital’s General Terms and Conditions:

  • Loan Amount is between $20,000 and $2,000,000
  • Interest Rate from 8.99% to 11.99%
  • For a period of 6 Months to 7 Years
  • Points: 2.5 – 4
  • Loan to Value: Up to 70%
  • Amortization: Interest Only
  • Collateral: Real Estate
  • No Prepayment Penalty
  • There are no upfront and junk fees

Source capital has standing work relationships with brokers, borrowers and investors and make sure that there is a secure transaction in a timely fashion. We have created a solid reputation for themselves by offering hard loans for real estate and are helping numerous borrowers, brokers and investors realize their business goals in a short period.

Source Capital is a direct and licensed lender, and hence borrowers can have the assurance that no loan paperwork will see the outside of the office. There is no need for external approvals or underwriting decision-making. With Source Capital’s immediate access to hard capital, there are fewer worries and snags.

Source Capital has its own funds, and hence, it specializes in private real estate funding for brokers fast and offers creative solutions to accommodate all client needs. We value our broker relationships and help close your transactions fairly and in time. After researching the property’s real worth, they approach funding in way so that they can structure the loans to fit the client’s finances.

Source Capital offers only first trust deed loans while giving the investors a great opportunity to get high yield returns, with minimum risk. The transaction is secured and offers the investors monthly returns. Each investor is recorded in a first trust deed position, with more security added in the form of a promissory note and personal guarantee. After funding is approved, the investors are given a loan-funding package consisting of documents involving all aspects of the loan. Source Capital tackles all due diligence process to take care of all the parameters and to manage the loan until term.

Source Capital protects the privacy of all its clients, and keeps all your information secure. As San Diego’s direct premier hard money lender, Source Capital boasts of firm business principles that have made their business relationships an overall success.

How to Get a Real Estate Loan With Bad Credit

There are many reasons for bad credit scores like financial problems or if you have recently started to build up your credit, whatever the reason, bad credit makes it difficult to acquire a loan from banks. But you can get the loan you want, even with bad credit, from good and trustworthy hard money lenders like Source Capital. We offer hard money loans for residential as well as commercial real estates. For more info, please contact us now via email or call us at 858.705.6144.

 

For a residential or commercial hard money loan, the underwriting decisions are mainly focused on the borrower’s hard assets, and not on his credit scores. In these cases, the real estate investment is used as collateral for the transaction. Hard money lenders are able to close the deals quickly, even in less than a week, as their funds mostly originate from private investors. Source Capital is a well known and well recognized residential and commercial hard money lender offering hard money loans in California, Arizona, Minnesota, San Diego, Phoenix, Los Angeles & more.

A commercial or residential hard money loan is a good alternative to traditional bank financing when you have bad credit. Hard money loans are beneficial to the borrower as well as the investor.

Source Capital lends hard money to people with bad credit, which can be a result of any number of circumstances. You can also apply for hard money loans from Source Capital when:

  • You have impaired credit and even with past bankruptcies
  • You have tax liens, judgments or unpaid items
  • For property repositioning
  • You need funds quickly to buy a residential or commercial property
  • You need a quick closing
  • To avoid foreclosure
  • You need a stated loan due to the presence or lack of tax returns
  • You need a “bridge” loan
  • You do not qualify for bank loans for some reason
  • You want to restructure you debt
  • You are a foreign national
  • You need a loan without the need to submit all your documents like in a bank
  • You need a personalized loan offering creative solutions for your financial situation

Source Capital will be able to secure and offer hard money loan in all these circumstance because bad credit does not matter much to us. Our decisions are almost solely based on the value of the real estate you are planning to buy. With Source Capital, you need not pay any upfront fees or prepayment penalties. Our terms and conditions are beneficial to both parties and can be customized to suit your finances.

 

How to Find Hard Money Lenders in California?

In order to find suitable hard money lenders in California, you need to identify your needs. The money lender should be reliable and trustworthy. All you need to do is follow a few simple steps to identify the best hard money lender to take care of your needs. Please call us now at 888.334.6636 to get more info about hard money lenders in California.

Residential-Loan

Each money lender has a set of different terms and conditions along with the requirements. It is a good idea to check up on the money lenders online and shortlist a few after some research for consultation. Meet with the firms and companies and discuss your requirements, their terms and options to know what they have on offer. Compare the suggestions and various topics discussed and answers given by different money lenders, so you can decide who will be more likely to give you what you want.

Ask your friends, relatives, neighbors and colleagues for suggestions regarding California hard money lenders. People who have applied for and used hard money will be in a better position to offer useful advice and to guide you with regards to the process and counsel you to take certain important precautions.

Online reviews and testimonials from clients offer great insights about any service. Use the internet to find more information about your shortlisted money lenders and then find out what people are saying about them. There are many review and testimonial sites where customers and clients voice their opinions. When you want to move forward to the next step to secure hard money loans and have a few companies in your mind, research them on Google. Read the reviews carefully and choose the ones you think that offer the best deal and services.

After doing your research and the data you have managed to compile, you will have a pretty good idea about which California money lender will be the best fit for you. Now take all your information and data and check with an attorney. Ask for opinions on the terms and conditions, negotiate if possible and needed, then sign an agreement. Your attorney should be able to help you guide through the agreement and terms, and check for issues prior to your acceptance of the deal. Sometimes the agreement may contain terms you are not familiar with; this is where your attorney steps in to clarify and check all the documentation before you sign any agreement.

A good hard money lender will work closely with you and walk you through the entire process. Make sure your property is worthwhile because it will the most important part of your transaction. No money lender will approve of a hard money loan if your property is not worth it. Good money lenders suggest solutions to problems, offer fair and flexible terms, reasonable repayment schedule and sometimes, give extensions.

Source Capital is the direct premier hard money lender in San Diego. We offer hard money loans for both residential and commercial properties. We finance through private capital and make sure that the process is fast. We work in tandem with our clients and ensure that the whole course is finished in as little as a week. Visit us for a consultation and we will help you in any way we can.