Posted by Jill on March 14, 2002 at 20:08:39:
Hello Frank! I’m new to this business too; therefore, I will not offer and advice that will hurt you. I have the same question that you do. A good place to post your question would be on the legal and financial message board. Let me know what you find out.
hard money vs. conventional - Posted by frank dalto
Posted by frank dalto on March 14, 2002 at 16:34:38:
What do I need to do to ensure that I protect my interests? In conventional loans the mortgage broker/bank title co. sets up closing and insures that the buyer is not getting screwed. (for the most part) In hard money, I don’t know how the process works. Do I need a title co. to insure title and set up closing escrowes? Do I need a lawyer at closing. The seller has picked the closing agent and the closing is at their lawyers office. I am new to this and want to cover my self. Please, I am nervous! If you can explain the hard money process and closing I would be grateful.
Re: hard money vs. conventional - Posted by Mike Daly
Posted by Mike Daly on March 15, 2002 at 14:22:23:
The process isn’t too much different, but you definitely don’t want to count on the lender to protect you. I’d recommend bringing your own attorney to the closing, and also asking for the closing papers 24 hours beforehand for him to review, which is I believe required by law. And you definitely should get title insurance. Hard money lenders don’t escrow taxes and insurance, at least in my experience.