Posted by evelyn on January 31, 2002 at 09:40:39:
thanks. My credit score is right at 500, yikes!!!
I will try to find one that does not do credit check.
evelyn
HARD MONEY LENDERS IN FLORIDA - Posted by evelyn
Posted by evelyn on January 30, 2002 at 20:45:21:
Need an EXACT example of how someone in FLorida ( or anywhere else for that matter) has successfully done a HARD MONEY LOAN. Need as many details as possible to fully understand concept. Called a hard equity lender today, but he rushed through the explanation and I still don’t get it.
Please help!!
evelyn
Re: HARD MONEY LENDERS IN FLORIDA - Posted by Jim Kennedy - Houston, TX
Posted by Jim Kennedy - Houston, TX on January 31, 2002 at 08:43:04:
Evelyn,
JeffGinFL has given you an example of the terms for one hard money lender. While other HML’s will have similar rates and terms, each one will be slightly different. That’s why it’s a good idea to shop around. Call several other HML’s in your area and ask them to explain their rates, terms and conditions. If they rush through the explanation, ask them to slow down so you can take notes. Or consider taping the phone call, so you can play it back later. Then you can pause, rewind and replay as many times as necessary until you understand.
Many HML’s have web sites that explain what they have to offer, including their rates, terms and conditions. One HML, Bob Beckman of Rehab Funding, advertises on this web site. Look for his banner ad at the top of this page. If at first you don’t see it, simply click on your web browser’s reload or refresh button until the banner ad says “Hard Money Loans” or “Rehab Funding”. You might also want to search the Internet for other HML web sites.
If you haven’t already done so, go to the ‘how to’ section of this web site and read Ed Wachsman’s explanation of hard money in his article entitled “A Glossary Of Common Terms Used In Loans And Lending”. You can find it at http://www.creonline.com/articl68.htm
Hope this helps.
Best of Success!!
Jim Kennedy,
Houston, TX
Re: HARD MONEY LENDERS IN FLORIDA - Posted by JeffGinFL
Posted by JeffGinFL on January 31, 2002 at 05:49:45:
Shouldn’t be too complicated.
The HM lender I’m familiar with works like this:
If you’re going to be doing rehabs, he likes people with previous experience generally.
Complete a FNMA 1003 loan app. Easily obtainable (Legalwiz had them last I looked)
He will pull your credit.
If he’s comfortable with what he sees, bingo!
His loans are 12 months max, with 16% interest. Your paying int only on the loan and he likes to get his money back in 6 months or less, but as I mentioned the note will be written for 12. You pay 1 pt up front and a $500 fee for each loan.
That’s all there is to it. Any other costs you need to do the deal (surveys, inspections, whatever) you pay for just as you would with a regular lender.
He finances purchase cost only - no fix up money here.
Hope that helps you out!
Re: HARD MONEY LENDERS IN FLORIDA - Posted by evelyn
Posted by evelyn on January 31, 2002 at 09:43:17:
thanks, Jim. I will do just that. Since my creit score is right at 500 (YES, I KNOW!@#) I need a lender who will help not based on my credit score.
evelyn