ASSET BASED LENDING SOLUTIONS FOR THE GREATER WINTER GARDEN, FL AREA
Winter Garden, FL, is a beautiful city in central Florida and it’s right outside of Orlando. Winter Garden has many businesses, attractions, and shopping malls located within miles of each other – giving residents and visitors plenty to do all year round.
With so many busy professionals and families moving in and out of the area, there’s an increased demand for good real estate agents, home improvement contractors, and commercial lenders.
The loans available at Hard Money Loans Solutions are specifically designed for clients who need financing during these transitional periods – when they’re buying or selling a property quickly. Whether you need to bridge loan between two properties for your business or you need short-term loans because your tenant just vacated without notice, leaving you with a vacant space – our team at Hard Money Loans Solutions has you covered.
What are Hard Money Loans?
Hard money loans are investment financing options that you can use to acquire or refinance a property. A hard money lender is an investor who provides the funds for real estate deals in return for a payment in the form of interest on top of loan origination fees.
Hard money lenders usually serve as private investors who have excess cash to invest in high-interest deals. They often prefer the short-term, quick turnaround deals that generate high returns and may agree to fund deals with difficulty obtaining traditional bank financing due to strict lending criteria.
The amount you are able to borrow depends on many factors, including but not limited to income, credit score, time frame, type of property/ involved, etc.? The entire application process will take a few days to a week, and the entire loan process will last about 60 days.
What is a Bridge Loan?
The main difference between hard money loans and bridge financing is that with hard money loans, you repay the principal of your loan as you make monthly mortgage payments on the property, while with bridge financing, your only option is to pay back both interest and principal upfront at closing.
In most cases, this type of financing allows for temporary funding until traditional bank financing can be obtained or until your business can generate enough income to support permanent terms. Bridge loans are usually short-term (3-12 months), but longer terms may be available depending on the asset involved.
Quickly paying off a bridge loan will require a healthy dose of cash flow to meet loan requirements. On the other hand, hard money lenders want to see that you understand the business and are using their funds responsibly by quickly repaying your debt. Therefore, you will need steady income or access to large sums of cash to make payments on time.
When it comes down to it, both loans can be used for similar purposes (to buy/refinance a property), but the main difference is how they are repaid. If you expect your financial needs to be short-term only, then bridge financing might be right for you.
However, suppose you plan on being in business long-term. In that case, hard money loans are probably more beneficial because the interest rate is usually much lower than traditional bank financing options – which could save you thousands in the long run.
We are here to help!
Call our Winter Garden Hard Money Loans Solutions team today, and one of our representatives will schedule a consultation with you to discuss which loan suits your needs!
Note: All submitted information is kept in strict confidence and used solely for the purpose of obtaining a hard money loan and/or bridge loan. We do not share your information with any third parties without your consent.