hard money loan - Posted by Jeff

Posted by Sean on July 05, 2000 at 18:28:08:

Most of the lending community has the simple attitude that it doesn’t pay to take chances, and I wholeheartedly agree. If you’re not sure then disclose, disclose, disclose.

Most of the lending disclosure requirements go under the terms “Regulation B” and “Regulation Z.” These are federal regulations – state laws may vary.

Regulation B is meant to prevent discrimination and Regulation Z is meant to promote informed consumer decisions. Try hitting up http://www.mortgagemart.com/regz.html for a brief overview.

hard money loan - Posted by Jeff

Posted by Jeff on July 04, 2000 at 14:22:09:

When making a hard money loan on real estate, is it necessary to fill out a disclosure form? Are any other forms necessary? Are there any reasons to avoid making a hard money loan?

Re: hard money loan - Posted by mike

Posted by mike on July 27, 2000 at 22:35:27:

Any recomemended lenders in Michigan? Got a situation pending adn need hard money

Well… - Posted by Sean

Posted by Sean on July 05, 2000 at 09:20:26:

If it’s a one-time loan then there are exemptions for people who make, I think it’s less than 25 loans a year. But if you are planning on going into business making hard money loans and are trying to determine what’s involved then yes there are lots of disclosures involved.

A big one is the truth-in-lending requirements where you must spell out exactly what APR the person is getting, how many payments are required, how large those payments will be and how much money you are providing to them or on their behalf.

I believe that’s why most people prefer to buy mortgages instead – much less paperwork.

Re: hard money loan - Posted by CarolFLUT

Posted by CarolFLUT on July 04, 2000 at 22:03:54:

The hard money loans we get are based on the contract we fax to the lender and whatever kind of appraisal / comps he/she chooses to use. The end.

Disclose what?

Hard money is quick, relatively expensive (compared to a l.o.c.) means of closing deals.

We know our lenders, and what they like, so it works for us in certain circumtances.
happy hunting,
Carol

Re: Well… - Posted by Jeff

Posted by Jeff on July 05, 2000 at 10:43:39:

OK,there are some exemptions if I only make a few loans a year. If I make a loan secured by a deed of trust, am I exempt from the truth in lending laws – spelling out the APR, number of payments, etc? Am I exempt from some disclosures, but not from others? I recall that John mentioned on one of his tapes that failure to comply with disclosure can result in loss of principal – so I want to get this right.

Re: Well… - Posted by carol.

Posted by carol. on July 05, 2000 at 09:42:40:

Thanks for clarifying, Sean. I was looking from the borrower’s perspective!

Re: hard money loan - Posted by denise epps

Posted by denise epps on February 11, 2001 at 21:45:29:

please help rent and telephone$1800.