Avatar's Blog
» How Much Can You Borrow?
Posted on 10/30/2004
Several factors determine how much you will be able to borrow on a hard money loan. The lower the risk, the more likely you will get the maximum loan possible.
To get the maximum LTV on your loan request at the best rates, your property should be income producing. Be prepared to demonstrate that the property earns or is capable of turning at least a small profit while paying all its bills, including the cost of the hard money loan.
Additionally, be prepared to provide a clear, reliable exit strategy for the loan. Hard money loans generally have balloon payments which require a refinance. How will you refinance your property?
Posted in Miscellaneous
To get the maximum LTV on your loan request at the best rates, your property should be income producing. Be prepared to demonstrate that the property earns or is capable of turning at least a small profit while paying all its bills, including the cost of the hard money loan.
Additionally, be prepared to provide a clear, reliable exit strategy for the loan. Hard money loans generally have balloon payments which require a refinance. How will you refinance your property?
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