A commercial hard money loan is one of the best loans to acquire if you do not want to go through a bank to acquire a loan to finance your real estate business in Florida probably. This type of loan is issued to people with assets or real estate properties to use as collateral.
Well, considering you are putting your property as collateral to acquire the loan, in most cases, people opt for hard money loans as a short-term loan to finance an emergency business need. Companies established in Florida solely focus on offering commercial hard money loans to esteemed business people. Where can you acquire Commercial Hard Money Loans Florida? In this article, we review the best places to find these loans but first…
Why is Commercial Hard Money Recommendable?
Speedy Acquirement
One reason as to why people opt for these loans is the speed of acquiring them. Generally, getting a loan from a bank will take a long process that can last for days or even months. But, with the hard money loans, you need to present your collateral documents, and once the company verifies them, one is given the loan. This means that one can acquire a hard money loan within a day.
The Loan Lenders are Flexible.
This means that the companies that offer commercial hard money loans are to-go-to companies if you cannot acquire the loan in a bank. There are certain loans that banks do not approve or refrain from if they do not meet their interests. But with hard money, lenders are not choosy regarding what kind of loans to offer as long you are a fit candidate.
For example, a bank cannot finance a project related to fixing and flipping, which involves repairing and reselling the houses. But, the hard loan lenders are always willing to provide such loans.
Lesser Requirements.
One of the reasons these loans take less time to process is the less documentation needed. These companies do not ask for lengthy listings as they only focus on the percentage of equity the borrower possesses from the collateral property, how much cash the borrower has for a monthly payment, etc.
Are There Risks Associated with Commercial Hard Money Loans?
Every loan has its downsides, and hard loans are no exception. Some of the disadvantages associated with these loans are;
High Rates
These loans are classified as private loans, and the lenders always consider the possibility of risk. There is no guarantee that the borrower will return the money on time and as agreed. So, they usually put up high-interest rates on the loans for risk purposes.
Down Payment Requirement
The hard loans are given to hard assets and properties that cannot secure a loan using institutes like banks. Therefore, the lenders make sure the borrower has paid a down payment of up to 25 percent of the property’s value for security purposes.
The Best Hard Money Lender Companies in Florida
BridgeWell Capital
This is the topmost sort-out money lending company in Florida. Bridgewell Capital offers custom loan programs like Investor Rehabs, Rental Properties, Refinance Cash-outs for Investors, and even Commercial Property Loans. Not only is this private money lender company best known for their versatile loan programs, but they offer great interests of as low as 5.95 percent on the flip and fix loans and 4.75 percent on rentals.
The customer care services are impeccable as they explain the loan acquisition process to their customers. Whether you have bad credit, are running low on money, or are even self-employed, this company will overlook all these as long you are fit to repay their money.
Birchwood Loans
Although many people are skeptical about acquiring Birchwood loans due to the design of their business listing ideas, they are pretty reliable and approachable. The company offers fantastic customer care services, and they have been able to service many businesses in Florida.
The feature that stands out about this company is that they can finance a business with up to 60 percent LTV payable for five years, giving you enough time to pay back the loan. Their loans are processed fast, and one is given an interest-only payment setting.
Capital Funding Financial
If you are looking for a quick mortgage finance loan in Florida, this is the right company to run to. They offer hard mortgage money for all real estate investors. Their loan policy is quite broad, allowing different people to acquire different loans. Meaning one can get a loan for rentals, hard money loans, flip and fix loans, and commercial loans.
The interests rates are pretty affordable since one can acquire a loan with as low interest as 7.49 dollars, depending on the amount you borrow. They take between 1 to 10 days to issue their loans entirely in closing the loan.
AHL Loans
The AHL is another recommended company to get that loan you cannot access from your bank. They take between 5 to 15 days to finance a loan depending on the amount of money you need and the type of loan you need. Another outstanding feature about this company is that they are pretty broad regarding loans offered. Whether you need a single, family, townhouse, commercial units, non-owner, and many other property loans, they are always willing to give out as long you meet their loan expectations.
Monroe Funding Corp
This is a reputable hard and commercial lending money company located in Florida. Monroe’s finding company offers loans to realtors, investors, and people who deal with property in general. The company has impressive and flexible payment terms, and their interests are favorable too. They do not require any credit score from the borrower to dish the loan as long as the property has a good market value. So, it is a recommendable company to go to.
Commercial hard money is great for people involved in the real estate industry since it quickly requires less documentation and is offered at reasonable rates depending on the amount you need. It is good to know the benefits and disadvantages of hard loans so one can take the proper precautions for safety purposes. If you are looking for a company to borrow a loan from in Florida, The article covered the top five best companies to go to for these loans.
