Hard money lending is a good way to get money when you can’t find any other type of loan… but is it the right kind of lending for you? If you need money fast, but you don’t have great credit or you can’t get financing from a more traditional lender, this may be the right choice for you. Here we’re going to talk about what hard money lenders are and what they’re not, so you can make the best choice for you. Let’s get started and see what hard money lending is all about!

What is a Hard Money Lender?

A hard money lender is just a lending company that gives out a special type of loan backed by your property. So if you’re going to buy a house while you’re selling one, you can get a hard money loan, also known as a bridge loan, to get enough money to cover a property. They’ll hold a certain amount of equity on your house until you pay off what you’ve borrowed. This is known as collateral.

What Kind of Collateral is Acceptable with Hard Money Lending?

You’ll want to speak with your Toronto mortgage broker (like us!) to find out how this works. For the most part this means you’re going to be using the property you take a loan out on to get the loan. So if you’re buying a property and getting a hard money loan, they will use that property as collateral. If you’re getting a bridge mortgage (another kind of hard money lending) they will use the house that is on the market as the collateral.

Is it Risky?

Hard money loans can be risky if you don’t know what you’re doing. This is why it’s so important to have the right people working on your side to make sure you’re getting the most out of your loan. You’ll want to speak with one of our Toronto mortgage brokers to find the right hard money lender for your needs. There are many different types and some will not be a suitable fit for what you need. Some will only offer money on commercial properties for example, while others will only lend money to people with excellent credit. There are caps on how much interest they can charge (these are generally known as usury laws) to prevent price gouging.

How to Find a Hard Money Lender

Finding a hard money lender is as easy as finding a local Toronto mortgage broker. We’ll help you find the right lender for your circumstances. No two borrowers are alike and no two lenders are either! We’ll help you find the right lender and avoid the wrong ones. We’ll show you comparisons from different lenders who want to work with you and help you choose the right one for your needs. Why settle for a low interest rate when you can get the best terms and the lowest interest rate? Let us help you today!

About Erin Thompson

Erin is an experienced mortgage broker and avid blogger for Homebase Mortgages. Connect with Erin on Google+

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If you need money, but you just can’t find the right lender, hard money lending can help you. You’ll be able to get the money you need to buy a home; navigating the tricky waters of Canadian hard money lending can be difficult, and that’s why you’ll want Toronto mortgage brokers like us on your side. We’ll be able to help you find the right lender that fits with what you need. Remember, just because you have less than perfect credit doesn’t mean you can’t get a great deal on your next mortgage!

What is Hard Money lending?

Hard money lending is basically a short term private loan. They’re meant to be repaid quickly, and they’ll lend to anyone who has an income and a house (like the one you’re buying). You’ll want to make sure you have a smart Toronto mortgage broker on your side to ensure that you’re getting the best possible loan terms. While interest rates are important (the lower the better), you’ll also want to know that you have enough time to repay your loan. There are so many things that can go wrong with this kind of mortgage, so you will want someone on your side that can help you make sure it’s the right type of loan for you.

Can You Benefit from Hard Money Lending?

Almost anyone can, but you’re going to want to make sure that you have no other kind solution. It’s called the lending of last resort for a very good reason; while you can get good terms that will help you bu the home you want, you could end up paying big over the next ten years when you don’t have to. This is why it’s just so important to have a good Toronto mortgage broker like us on your side to help you make sure that this is the right option for you. Hard money lending is there for people who can’t get any other kind of financing; just because you have bad credit doesn’t mean you have to get a raw deal on your mortgage.

Who Offers These Types of Loans?

The main providers of these types of loans are private mortgage lenders. In Canada, they can account for anywhere between 17% and 35% of total lending; they’re the same as any other type of mortgage lender, but you’ll want to make sure that you work only with a reputable private mortgage lender that has a well-known track record. Many private mortgage lenders are hard to find, and when you work with Toronto mortgage brokers like us you’ll have a smart entre into the world of private lending.

It’s important to make sure that you’re getting a great deal! We work for you helping you get a great interest rate and loan terms you can live with; we’ll also make sure that you avoid any lenders that are new or ill-suited for your needs. This will help you make sure that you get a great mortgage at a great rate, hard money lender or else.

Hard money lending… you’re going to have a long road if you do it wrong. Here we’re going to talk about how it works, how it can help you and how working with us as your Toronto mortgage broker and everything else you need to know. Hard money lending is all about short term loans that you need to repay quickly. You’ll have a shorter waiting time than you normally would have for financing and you’ll be able to get that money you need to buy your home.

What is Hard Money Lending?

When you can’t get your financing to buy your home, you can always get a hard money loan. They have many different names like bridge loans, bridge mortgages and more – but you’ll want to be really careful about who you deal with. This is why it’s so important to work with a Toronto mortgage broker to know that you’re dealing with the right lender. There are many lenders that offer these types of cash loans but they’re usually Canadian private mortgage lenders that will work with you to get you the best deal.

What are the Positives?

There are many positives with hard money lending, and they’re going to usually be around how fast and easy the money is able to get. If you need to be able to get money quickly so you can get the deal closed, this is the way you want to do it. You’ll also want to think about things like an alternative, you may not even need hard money lending. It can get pricey but it is fast and they will give you the money you need to get a home. That’s why working with us as your Toronto mortgage broker is going to help you get the most out of your financing and keep you from going bankrupt.

What are the Drawbacks?

They’re expensive, and that’s always the drawback of hard money lending. They’re not meant to be a solution for a 30 year mortgage but they will get you where you need to be. If you want to save money you’ll want to talk to one of our Toronto mortgage brokers. We’ll be able to help you figure out if this is what you need.

The money that you spend on hard money lending will cost you, but it will help you get all the money you need to buy a home. High interest rates can be a problem if you have bad credit, but that’s why you want to work with us! We’ll be able to help walk you through all the steps to know if this is the best course of action for you. You may even be able to find another mortgage that will cover all your expenses at a low rate – you’ll never know unless you try! Contact us today and see what we can do for you.

Hard money lending can be rough, but that’s why you should choose one of our Toronto mortgage brokers! You’ll be able to get all the money you need to buy your home or refinance, and you won’t have to worry about paying too much money for your loan. Since these are the loans of last resort you can run into some shady dealings. This is why it’s so important to make sure you have a representative that can stick by your side and help you find the best mortgage. We’ll explain everything to you so you know where you stand and which one is right for you.

What Is A Hard Money Loan?

It’s a hard cash loan that you have to get to buy a home; they’re usually used to buy a house if you don’t have all of your down payment available. They’re also used as something known as “bridge loans”, “bridge mortgages” and just bridge financing. Whatever you do, you have to know that this is among the riskiest kinds of financing that you can get.

Isn’t That Risky? Don’t Deal With Hard Money Lenders On Your Own

Yes, it’s risky to borrow large amounts of money at high interest rates for short periods of time. That’s why you want to work with a Toronto mortgage broker that will help you through the rough spots. You don’t know what the standard terms are for this kind of financing, but we do! We’ll make sure that you’re getting a mortgage that’s tailor fit just for your needs. We know most people don’t have time to get out there and research what kinds of interest rates and terms are fair for their credit spectrum, that’s why we’re here. You’ll never have to worry that you’re getting a raw deal when it comes to your next mortgage.

Should You Choose A Hard Money Loan?

If you can deal with a low Loan to Value ratio, you’re going to be fine with hard money lending. LtVr just means that if you have a $100,000 in equity, they’re going to lend you money fast for only 60% of that LtVr. If you’re going to take your time paying back this kind of loan you shouldn’t get a hard money loan. There is simply just too much that can go wrong, and you don’t want to end up the wrong end of that bad sandwich.

Save With A Toronto Mortgage Broker

If you want to save money you’re going to work with us! We’re Toronto mortgage brokers that know what’s out there as far as lending goes and we’ll be able to help you save the most money for your investment. Don’t give up equity in your home without knowing what you can get in return. We’ll be here with you through every step of the process, working towards getting you the best mortgage.

Don’t you deserve something better than a cookie cutter hard loan? Get the terms that work for you and your life.

Want to buy a hose but can’t get up all the money you need for a down payment? Most of us can’t, but if you need a loan you need a Toronto mortgage broker. You’re going to first need to understand that these loans are short term loans; they’re not mean to go on for years and years. You’re going to want to pay them back as fast as possible. You shouldn’t let it go for too long. But as long as you pay back the loan as fast as you can in five years you could have your house paid off! Here we’re going to go over everything you need to know about hard money lending, so let’s get started.

Who Are Hard Money Lenders?

Hard money lenders are people and companies that get you the money you need without the problems you could face with another lender. If you want to find a good one you’re going to have to work with a Toronto mortgage broker. They’ll be able to help you find the best one for you; even if you have bad credit you’re going to be able to get this kind of money. You will need to be able to fork over a good bit of your equity if you want to be able to get this kind of loan. Even with good credit, this is how things are going to go for you. But hey, if you can get fast easy money without all the hassles of a traditional or conventional lender it may just be worth it.

Do You Need Equity, Or Can It Be Your First Mortgage?

Either one will work for your equity stake. They need to know that if you can’t repay your mortgage that they can auction the house and recover their investment; it’s a rough thing to say for sure but if you work with a Toronto mortgage broker you’re going to be able to get the best mortgage for you. This way you’ll know what your terms are before you get started and you’ll be able to get all the money you need to buy a home or refinance one! When it comes down to it, that’s all that matters! You need to be able to buy a home without being told no all the time, and when you work with the right broker you’ll be able to get there.

Working With a Broker Saves You Money

When you choose a Toronto mortgage broker you’re going to be able to get the best deal. They’ll compare many different hard money lenders and help you get the best deal. Most of these lenders aren’t easy to find and if you want to find the right one you’re going to have to work with a broker. Brokers are there to make sure you get the best deal and they don’t get paid until you close the deal. It’s like having a personal friend in the business that will save you money.

Hard money lenders are thriving in Canada, and with good reason! But it’s important to make sure that you speak with a Toronto mortgage broker before you start look at a hard money lending solution. Here we’re going to talk about these types of lenders and what hard money lending is. Remember: don’t choose this type of financing before you speak with a professional!

What is Hard Money Lending?

Hard money lending is what is known as “asset based financing”, meaning a piece of property like a home or land is used as collateral. This can be a house you own now that is on the market while you’re trying to buy a new one. These are technically also “bridge loans” or “bridge mortgages”. You’ll be able to borrow up to 70% of the worth of the property. So if you own a property worth $1,000,000 and you want to get a hard money loan against it, you’ll be able to get up to $700,000. But this is only if you have a really good Toronto mortgage broker on your side (like us!) to make sure you’re getting the maximum amount of money for your property.

What Are the Criteria for Hard Money Lending Lenders?

Hard money lending criteria vary depending on what lender you select for your hard money loan. They can use traditional things like your credit score, collateral (how much the property you’re using as collateral is worth), income, employment and a myriad other things. It will really depend on who you approach, but it also depends on who acts as your intermediary. You can always try to find a good hard money lender on your own, but you’re going to need a mortgage broker to help you find the best of the best. No two situations are the same and you’ll need to be paired with a lender who will understand your unique circumstances.

Who are Hard Money Lenders?

Hard money lenders are usually private companies or individuals who provide borrowers with short term loans. They’re known as bridge loans because they typically don’t last very long and need to be repaid in a shorter time than a traditional mortgage; you’d be hard pressed to find a 30 year hard money loan. These kinds of loans are riskier for the lender than a traditional loan, so interest rates may be higher than a mortgage you receive around the same time.

What are Hard Money Loans Used For?

Hard money loans are generally used to “bridge” the gap between traditional financing and the borrowers own money. For example if a borrower has a down payment and a financing from a traditional lender, but can’t afford an extra $12,000 to buy a property until their first home sells, they can get a bridge mortgage or a hard money loan. It’s important to make sure that the hard money lender that you’re dealing with is on the level. Let us help! As Toronto mortgage brokers we have the relationships and knowledge to get you the best hard money loan; contact us today and find out more.