5 Traits Of A Good Hard Money Lender
Oct 05, 2016
A commercial hard money loan (also called a bridge loan) can get you out of a tough financial situation. It can also allow you to act quickly on a financial opportunity, leading to big dividends for savvy investors. But if you’ve never used a hard money loan lender before, choosing one can seem daunting. How do you know you’re working with someone who’s reliable and trustworthy? How can you be sure you’ll get the best terms on your loan?
Commercial Hard Money Loan
The short answer to these questions is: do your homework. There’s no shortcut to due diligence, so you can’t expect solid results without it. That said, here are some important traits to look for in your hard money lender.
Good communication is the foundation for any successful business relationship. A quality hard money lender should show the signs of good communication immediately, even while you’re browsing their website. Is the information presented clearly and concisely? When you contact the lender, take note how responsive they are to your calls and emails. If you have to wait more than 24 hours for a response, this is a red flag.
Do your lenders know their stuff? Do they walk the talk? If the lender’s website lacks solid information or if they consistently need to “get back to you later” when you ask direct questions, this could be a sign they are not as knowledgeable about the industry as they should be.
Does the lender answer all of your questions in a forthright manner, or do they say something vague and then they change the subject? Are terms hidden and hard to pin down, or are they made available the moment you ask? Transparency and honesty go hand in hand with good communication.
The best hard money lenders exude an air of professionalism. They are organized and on top of all details and deadlines. They respond to your questions in a timely manner and keep their promises and obligations to you.
From beginning to end, you should feel treated with genuine respect by the lender. They should also be respected by others; take the time to find client testimonials and feedback about the lender to verify that respect will be a two-way street.
Applying for a hard money loan is a big decision, and you’ll want to make sure you’re working with the very best. Riverdale Funding is a commercial hard money lender with these five attributes.
Contact Riverdale Funding today and work with a private money lender who will work to earn your business.