Hard Money Bankers, or HMB, is one of the premier hard money lenders in New Jersey. If you're interested in purchasing an investment property in the state of New Jersey but cannot secure funding from a traditional bank, a hard money loan through HMB may be the solution you have been searching for!
What Are Hard Money Lenders?
A hard money loan is any short-term loan secured with a piece of real estate as collateral. Repayment generally takes place over one year, over which borrowers are responsible for small monthly payments that cover interest before paying back most of the balance with a big balloon payment at the end. This structure is ideal for real estate investors, who incur minimal charges while preparing a property for resale and then pay back the balance after a property has been sold.
Unlike banks who fund mortgages using money deposited by their customers, hard money lenders are private investors (acting individually or in a group) using their own money. This increases their risk substantially, meaning that customers can expect to pay slightly higher interest rates than those offered by a bank. However, hard money lenders offer several advantages over traditional loans.
First, the most important consideration for any hard money loan application is the value of the collateral property. If you have limited or bad credit, a bank is likely to turn down your funding request. However, HMB may still be able to approve you if you have enough equity in your collateral property.
Hard money lenders can also move more quickly than banks. While a mortgage can take months to process and fund, a hard money loan can be approved in a day and funded within the week. This helps your offer rise to the top if multiple offers are on the table, as sellers don't need to worry about whether or not your financing will come through.
Is Hard Money Bankers The Best Hard Money Lender In New Jersey?
While I can't claim to have personally used every hard money lender in the state of New Jersey, I can attest to the fact that HMB made my recent real estate transaction go smoothly. I'm interested in real estate investments but have little experience with it, making me too big a risk for banks to approve. Instead, I met with Jason Balin (Senior Underwriter for HMB) who walked me through the process of what my loan would entail. He mentioned the one-year repayment structure described above, but offered alternative structures and terms if I felt that they would be a better fit for me. Ultimately, I opted for the classic model.
I was approved and funded within a week, helping me secure a valuable property with multiple interested buyers. My inexperience showed as repairs required more money than I originally budgeted for, but I still managed thanks to the affordable monthly payments at the beginning of my term. I eventually got it fixed and flipped for a substantial profit, satisfying the balance of my loan shortly thereafter.
Overall, I was very satisfied with HMB and would use them again to facilitate future real estate deals.
How To Get A Hard Money Loan Today
If you're interested in procuring funding from Hard Money Bankers, you may apply online at HardMoneyBankers.com. Alternatively, you may consult with a qualified real estate expert by phone or via the live chat available on the website. Either way, you'll know that you are working with the best when you use Hard Money Bankers!