A typical bridge loan is short-term in nature, usually anywhere from 3 to 12 months, though this can be extended in some instances. It can be used for both commercial and residential properties as well as businesses. These asset-based loans give individuals and companies time to secure traditional funding for their projects while allowing them to meet current obligations. If they are bridging from one property to the next, it gives them time to sell the first investment while going ahead with a build-out or renovation. Sometimes, real estate developers and investors will need to take quick action on a property in order to beat out competitors—the perfect opportunity can be realized by obtaining quick capital with this type of loan. In other instances, a developer needs to update a property and prepare it to meet required standards before a traditional lender will consider a long-term loan.
For entrepreneurs, it can bridge the gap that can occur in seasonal businesses. For home owners, it can allow them to purchase and move into their new dream home before their old home has sold. This is important in the hot real estate markets that are occurring today when offers based on a contingent sale can be easily passed over. These types of loans can also be perfect for those in the fix and flip industry who require quick funds in order to get in, renovate and sell.
A private hard money lender often offers this type of loan. They fit well into their portfolio as they are asset-based and short-term. Private investors are, however, not always easy to find. Working with a hard money loan mortgage broker can ensure that you get the best rate from a qualified lender. The requirements to be a licensed mortgage broker are stringent, requiring continuing education to ensure their knowledge base stays relevant. Private investors turn to these businesses and individuals in order to be paired with borrowers that fit into their investment strategy, knowing they can trust them when choosing borrowers. Many businesses, developers and contractors work with a hard money loan mortgage broker that they have come to respect and trust for much of their capital needs. Be sure to check references and work with one that has been in the business for years—it takes time to build up a portfolio of private investors.
We work with hundreds of private investors that look past credit issues and are more concerned with the collateral and the project. We provide quick funding, sometimes in as little as 24 hours, without the mounds of paperwork and endless submissions. Call us today for a no-obligation quote.
Level 4 Funding LLC Private Hard Money Lender
Arizona Tel: (623) 582-4444
Texas Tel: (512) 516-1177
Dennis@level4funding.com NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 Congress Ave |Austin | Texas | 78701
About the Author: Dennis has been working in the real estate industry in some capacity for the last 40 years. He purchased his first property when he was just 18 years old. He quickly learned about the amazing investment opportunities provided by trust deed investing and hard money loans. His desire to help others make money in real estate investing led him to specialize in alternative funding for real estate investors who may have trouble getting a traditional bank loan. Dennis is passionate about alternative funding sources and sharing his knowledge with others to help make their dreams come true. Dennis has been married to his wonderful wife for 42 years. They have 2 beautiful daughters 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.