Re: Why hardmoney? - Posted by Tim Fierro (Tacoma, WA)
Posted by Tim Fierro (Tacoma, WA) on February 06, 2002 at 11:13:08:
I think most investors are hard working people, so I do agree with you.
Some HM lenders will wrap the points into the loan, others don’t. Every lender is going to have their own standards upon to lend money or not. The reason HM’s exist is for the choice, and solutions for those that can not get traditional loans. If you need money quick, you have lousy credit, or other reasons Bob has explained, then HM may be right for you. It all depends on the deal and the individual.
Since these are choices, you have to think that a competent investor will check all sources to determine where they can get loans. You can’t force everyone to go through normal brokers as their may not be time or credit worthiness to make the deal going that way.
HM is expensive, but it can work for some deals. Conventinal financing is cheaper, if the funding requirements are met. The investor needs to decide the route to take.