Hard money loans, also known as privately funded commercial loans, are a type of financing that carries a higher interest than what conventional financing institutions such as banks provide. Even though some borrowers may see the interest rates as restrictive, it is important to note that hard money lending may just be a suitable financial solution. If you are in San Francisco, you can get in touch with reliable lenders such as Evoque Hard Money Lenders in San Francisco.
Here are some of the reasons why you should engage a hard money lender near you.
When you have pressing financial deadlines
Time is a valuable aspect for all investors in business and commercial property industry. However, when you approach a conventional lender, it may not honor your pressing deadline and offer the loan in time, which means you may lose a great deal.
Experienced investors as well developers will agree that when you are facing situations where time is of the essence such as an unexpected overrun on cost, a foreclosure, and more, waiting for a bank to close a loan in 60 -90 days may not be the most viable course of action. To avoid the long wait, you can engage reliable hard money lenders in your area. For example, Evoque hard money lenders in San Francisco can serve your interests in you are within their coverage areas.
With reliable hard money commercial lenders in San Francisco, you can have your application processed in a period of less than three days and you can have the money that you need, albeit with a higher interest rate.
When you suffer from bad credit history
Bad credit is not a new concept and many people have to deal with it. It may not necessarily even be your fault and you simply find yourself in this situation due to business deals that went south or due to negative effects the global economic crunch. Either way, a bad credit score is always a red flag for conventional financial institutions.
Conventional lenders such as commercial banks are reluctant to lend borrowers with poor credit history. However, when you deal with a private lender, things are different. For instance, private funding is not dependent on the financial strength of the borrower. Instead, it is equity based. For that reason, you can find a better solution from a reliable hard money lender in San Francisco.
Since they do not consider credit history a major requirement for the lending process, you are likely to get a loan even with a damaged credit report.
When your business requires a bridging loan
From reliable lenders, hard money loans are short or medium term, thus making them the best solution for business people who are looking for a bridging loan. This can help you meet your financial obligations in the shortest time possible, without having to go through the stringent process of conventional lenders.
There are numerous reasons why you should consider a reliable San Francisco hard money lender. All you have to do is figure out if you fit the bill for this type of financing. For details about Evoque hard money lenders in San Francisco, visit http://evoquelending.com/