It is a common issue encountered by small business owners, home flippers, and other entrepreneurs looking to finalize an important deal where the only hold up is ensuring they have sufficient liquid to get the ball rolling on a project. If you find yourself in this situation, it would be prudent to consider a hard money loan. For example, if you reside in or around Los Angeles and are in the real estate business renovating and selling homes, you could apply for a “fix & flip” loan with hard money lenders in Los Angeles to ensure you can pay the contractors and other expenses related to updating the property so it can get back onto the market sooner rather than later.
Here are some examples of scenarios where a hard money loan can be a huge benefit on closing an important business deal or transaction:
Loan Approval is Efficiently Prioritized in the Underwriting Process
It is reasonable to assert that one of the primary benefits associated with securing a hard money loan is that the entire process, from applying for the loan, receiving a determination on your application, and underwriting are completed very quickly, especially when compared to more traditional loans. For example, it is quite common for respected and reputable hard money lenders such as PB Financial Group to provide a response to a loan request within 24 to 48 hours and can fully finalize and fund the loan in a few weeks.
Though, it is important to note that the speed in which your hard money loan application is reviewed and decided upon depends largely on how quickly you are able to supply the necessary documentation to the lender. For example, if you have invested some time at the beginning of the prospective deal by conducting due diligence and having the necessary paperwork available at the time you request the hard money loan, thus your loan will close sooner rather than later.
The greater efficiency associated with hard money loans is largely attributed to cutting out the proverbial “middle man” and being able to work directly with the lenders, who are empowered to make the final decision on your application.
Structuring Your Hard Money Loan
In addition to greater efficiency in securing the needed funds to finalize your deal, you will likely encounter lenders who are willing to work with you to tailor a hard money loan in Los Angeles to suit the specific project with a focus on removing any obstacles you may have in the process.Hence, why a hard money loan application may not require you to providespecifics related to debt service coverage or credit scores.
Transparent Terms and Conditions from the Outset
When you apply for a hard money loan with a respected hard money lender such as PB Financial Group, you should expect to be provided with an initial term sheet that provides an overview of the loan terms so you know, at the very beginning, what is being offered and what is required to service the loan. Further, some hard money lenders also provide detailed commitment letters that set forth the specific terms that have been agreed upon by both you, the borrower, and the lender so that there is no confusion or surprises at closing.
So if you are in need of financial assistance,it is in your best interest to take action now and begin establishing a relationship with a top-notch hard money lender in Los Angeles, PB Financial Group, whom have helped over 2000 clients thus far and can do the same for you. For additional information or to schedule a consultation with one of our experts please contact PB Financial Group at 877.700.3703 or visit www.CalHardMoney.com to learn more.
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