Hard Money Mortgage Lenders: The 3 Ways to Borrow Money

It is difficult to obtain loans today because of the current lending environment. Hard money mortgage lenders are the best way to purchase the property. When investing in real estate, the top investors in the country use money from other people. 

To get a hard money loan, you can also hire the best hard money lenders in south florida.

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You might want to use hard money if you see the best real estate investors. Let's take a look at three ways to borrow money to purchase homes.

1) Hard money mortgage lenders – One thing you should know about hard cash is that they will charge you to do business. Consider the fees when calculating the purchase cost of an investment property. 

Most lenders charge 3 to 5 percent for the loan and 13% to 15% for interest for a period of 6 months. You should understand all fees and determine if you are able to extend the loan for an additional 6 months.

2) Borrowing money from family or friends – You can borrow money from your relatives to purchase the house. If you deal with relatives, your points and % would be much lower. To protect both sides, make sure to hire a lawyer.

3) Owner Financing The owner might be willing to finance your mortgage and may even offer you a loan. The typical term of the financing is 3 to 6 years, but it can vary depending on your negotiation skills. 

Alert! This practice may be banned by new legislation in the future. Before you move forward, make sure to consult a lawyer.

There are many ways you can get money to purchase the property.

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