Rehab Private Hard Money
Hard
Money or an Asset Based Loan typically used for purchase,
rehabilitation, and resale of investor owned property and is consider
same as a collateral based loan against a hard real estate asset. Unlike
typical mortgage loans, hard
money loans are provided by private sources such as individuals, but
not backed by a bank, government, or Wall Street.
One can use a hard money loan if there is trouble
getting approved for a conventional type loan. Since banks and agency
rules are not used to guarantee private hard money loans, different
guidelines are set for approval. These guidelines are made by investors
for investors and are typically much more streamlined than the
conventional loan process.
Need to finish your construction project? Having trouble getting your project approved through the banking system?
Call (401)236-5060
Need to finish your construction project? Having trouble getting your project approved through the banking system?
Call (401)236-5060
A hard money rehab loan is reserved for investors only as business
to business and all the numbers must line up before the loan process can
be started. Your loan numbers will be pre-approved to make sure the
loan will make sense, not only for the rehab buyer, but for the private
investor also. These type loans can be used for commercial and
residential investment rehab properties. Flexible lending terms are the
norm, since private lenders use their own money. Private rehab loans
can also be closed through the title company much quicker and with basic
documentation.
We specialize in securing rehab construction hard money loans on residential or commercial property. Purchase through construction draws with the loan secured by the asset are provided usually on a 65% ARV (after repaired value). The full purchase price of the property can be funded up to 100% plus the construction costs. As a construction loan, after the purchase and when construction starts, money draws will be sent after each stage of completion on the rehab property is accepted.
Hard Money Private Money Investor Loan Process
Working with investors like you is all we do...we share the same goal. Becoming partners with you makes future projects easier to finance. The first time we work together, there will be some extra documentation needed. Once you have pre-approved as a rehab contractor/ investor, we will move forward with your current rehab project. Fill out the form below and we will send you a construction loan rehab application to get started. Items needed to start the pre-approval process:
We specialize in securing rehab construction hard money loans on residential or commercial property. Purchase through construction draws with the loan secured by the asset are provided usually on a 65% ARV (after repaired value). The full purchase price of the property can be funded up to 100% plus the construction costs. As a construction loan, after the purchase and when construction starts, money draws will be sent after each stage of completion on the rehab property is accepted.
Hard Money Private Money Investor Loan Process
Working with investors like you is all we do...we share the same goal. Becoming partners with you makes future projects easier to finance. The first time we work together, there will be some extra documentation needed. Once you have pre-approved as a rehab contractor/ investor, we will move forward with your current rehab project. Fill out the form below and we will send you a construction loan rehab application to get started. Items needed to start the pre-approval process:
- Copy of the borrower driver’s license
- 6 months most recent consecutive bank statements for all accounts that the borrower would like us to consider when underwriting the file for approval (both business and personal if applicable)
- Last 2 years tax returns (both business and personal if applicable)
- Funds to show how the payments will be made
- Business entity documents (operating agreement, etc) if there is a business involved.
- Project details or executive summary (not required for pre-approval)
Pennsylvania, New York, New Jersey, Delaware, Connecticut, Virginia,
North Carolina, South Carolina and Maryland. (D.C. not included) Different states have different restrictions.
PA, NY, NJ, DE, CT, VA, NC, SC, MD, & DC - Send your project in for special consideration CA, OR, & TXInvestor Only Loans from $50,000 - $750,000
Credit Score 625 or Better (or co-borrower/guarantor required)
Typical Loan Term 13.9%-15.9% + 5-7 Points Interest only 6-12 months
If you are having difficulty obtaining conventional financing, or simply need a loan closed fast with creative and flexible terms, consider hard money.
Hard Money Qualification
Private Money Hard Loans are specific to investors and residential owner occupied properties cannot be accepted.- Loans are usually up to 65% After-Repaired-Value (ARV)
- 100% of acquisition/construction
- Both residential and commercial properties
- Foreclosure/Bank REO properties Accepted
- Interest only and "no payment" options are available
- All loans must be for business or investment purposes (sorry, no primary residences)
- Cash-out refinance possible for Investors
- Closing usually 10 days or less
- Appraisal always Required and paid upfront
- Hazard/ Builders Risk Insurance required
*Avalon Holding Group*
88 Silva Ln
Middletown RI 02842
Office:(401)236-5060
Toll free:(866)849-2229
Fax: (866)421-1902
www.avalonholdingsri.com
