Hard Money Loans
A hard money loan is a type of short-term financing secured by real estate. It is typically used by investors who are unable to obtain traditional bank loans or other forms of financing. Hard money loans are usually provided by private investors or lenders and are usually more expensive than traditional loans due to the higher risk associated with them. The loan amount is based on the value of the property, not on the borrower's creditworthiness. These loans are generally for shorter terms than traditional mortgages, often ranging from six months to three years. Borrowers must have sufficient equity in their property to secure the loan, and they will need to make regular payments throughout its duration.