How To Apply For A Hard Money Loan
Oct 05, 2016
An asset-based commercial hard money loan is privately issued financing that is underwritten based on the value of the property rather than a borrower's income or credit history. This type of loan can be used by a borrower who does not qualify for a loan with a conventional bank to still be able to get a loan fast to fund their commercial property purchase or refinance.
How do you apply for a Hard Money Loan?
Identify The Right Lender
Not all hard money lenders offer asset-based commercial loan programs. Moreover, not all those that offer the service will give you the amount that you seek. It is therefore prudent that you understand the capability of your lender in offering this loan. Additionally, take time to talk with the lender to understand the terms and conditions that accompany the loan.
Identify The Collateral You Want To Use
Hard money lenders depend almost wholly on the guarantee you provide, this loan is asset-based. Properties that you can put down as collateral include:
• Retail property
• Industrial property
• Office buildings
• Apartment buildings
• Non owner occupied 1-4 family properties in a LLC or corporate name
Once you have the collateral, go ahead and collect the documentation you need to convince the lender that your collateral is adequate to give you the loan you need.
Request For An Appraisal Of The Commercial Real Estate Property
Lenders do not allow you to appraise the property on your own. You will need to request an order for an appraisal from an independent appraiser to determine the value of the property. This is what will determine the loan amount you can apply for.
Apply For The Hard Money Loan
The application process for a hard money loan is simple and doesn’t involve prolonged review periods. All you have to do is fill out a short application form that requires you to provide contact information, property information including photos, and the amount you seek and any requested documents.
Want To Apply For An Asset-Based Hard Money Loan Today?
As a private hard money lender, Riverdale Funding, LLC can help you achieve a commercial real-estate investment or have the funds to refinance. We don’t require personal financial documents and don’t base your approval on your credit history. We have programs for all borrowers no matter what the credit. Because we are a direct lender we have flexible lending guidelines lending our own money, $250K up to $5 Million, shortening the turnaround time for you to receive your loan. All you need to get started is to fill out a summary form and return with interior and exterior photos of the property.
Talk to one of our advisors at (888) 368-4983 or submit your commercial hard money loan application today!