At FCTD, we take great pride in the strong, long-lasting relationships we have forged with our borrowers. Many of our clients have returned to us repeatedly to fund their diverse projects. We’ve helped a multitude of fix-and-flip investors expand into rental properties, ground-up construction, second mortgages and even loans for their primary residences. We tailor our solutions to suit their ever-evolving needs.
Our position as mortgage brokers affords us the flexibility to draw from numerous sources of capital, and not be confined to a single hard money lender. This adaptability has served us well in navigating unforeseen challenges, such as the capital market freeze at the COVID-19 pandemic's onset. While many hard money lenders suspended funding for several months, we were able to pivot and secure loans from mortgage funds, family offices and individual trust deed investors to ensure our clients' projects could proceed without interruption.
While we acknowledge that our services aren’t ideal for every borrower, we remain committed to leveraging our extensive resources and expertise to help our clients obtain financing that aligns with their unique needs and objectives.
What are the Advantages of a Hard Money Loan?
When funding a purchase, refinance or cash-out refinance, hard money loans feature a number of advantages. Firstly, these loans have faster closing times than traditional financing options. They can close in as little as 24 hours with some lenders in urgent cases, although the typical time frame is 5-14 days.
And while credit score is a consideration, it’s not a major factor for hard money loans, making them more accessible for borrowers with less-than-perfect credit. Nevertheless, the lender will review the likelihood that the borrower's credit history will qualify them for long-term financing to repay a hard money loan.
Hard money loans are the key to financing non-stabilized properties or those that need rehabilitation (vacant, or mostly vacant), and ineligible for traditional bank loans. Investors looking to purchase properties to rehab or stabilize with long-term tenants will find that hard money loans are an attractive solution.
