Timeline for a Hard Money Loan and What You Can Do to Help the Process

Brenda Sigurdson / May 10, 2021 / Leave a Comment

Have you wondered just how long it can take to get a hard money loan? In this blog, we will review the timing and how you can help speed up the process. Let’s begin first with understanding a hard money loan.

What’s a Hard Money Loan?

A hard money loan is a loan secured by a physical asset, in the form of real property. These are short-term loans, and they are funded by private investors instead of conventional sources (banks, insurance companies, etc.). The term of a hard-money loan can last anywhere from one year to five years, and payments are made in monthly installments of the interest on the loan.

Since the hard money loan is secured by real property, the amount of money lent to the borrower by a private investor is almost entirely dependent on the value of the property.

What is the Timeline to Get a Hard Money Loan?

One very attractive element of a hard money loan is how quickly you can get the funds you need vs. a traditional lender. In most cases, you can get your deal funded within a couple of weeks. If you have your paper work in order, you may …

Timeline for a Hard Money Loan and What You Can Do to Help the Process Read More »

How to Find a Hard Money Lender for Your Commercial Real Estate Investment

Brenda Sigurdson / March 31, 2021 / Leave a Comment

Once you decide that hard money is the way to go, the next step is to find the right lender for you. Hard money loans can be useful tools for a real estate investor, however, not every lender will be a fit for your investment. As we all know, when you find a deal, you need to move quickly, but don’t let that need for speed discourage you from performing some basic due diligence on the lenders you contact.

Step One: Stop Comparing Hard Money Lenders with Traditional Lending Sources

The first thing that you have to do is stop comparing the rates and terms a conventional lender offers to the offers you will receive from a hard money lender. Hard Money loans are almost always riskier for a lender, and the rates and terms will reflect that. If you have perfect credit and can afford to wait 90+ days for a traditional loan, then a hard money loan is not right for you.

Step Two: Use Your Resources

So, where are you going to find a hard money lender? You’ve got a few options:

Professional networking
Local Real Estate Attorneys
Google search
Social media
Referrals/word of mouth

Find a …

How to Find a Hard Money Lender for Your Commercial Real Estate Investment Read More »

$4,000,000 First Mortgage – Development Site – Bronx, NY

Rich Salinaro / March 2, 2021 / Leave a Comment

$4,000,000 First Mortgage – Bronx Development Site

An up and coming developer contacted H&O Capital Funding looking for some financing for his development project in the West Bronx. The borrower needed cash to start the demolition and construction on 5 contiguous lots, currently improved by vacant two-family homes on each lot. The developer was referred to H&O Capital by their architect, who is a long time friend of H&O, as well as a previous borrower. The sites combine to form an approximately 12,725 SF site in an R8 zone with 76,000+ SF in buildable square feet. H&O Capital closed the deal in under three weeks.

H&O Capital Funding has helped countless real estate buyers, sellers, lessees and lessors achieve their goals. Our legacy is unwavering commitment to the communities we serve. Houlihan & O’Malley Commercial Real Estate Services specializes in four distinct, yet overlapping, areas of business: Commercial Brokerage services, Private Mortgage services, Appraisal Services and Advisory services.

For more information on loans that we offer, visit our website.

…

$4,000,000 First Mortgage – Development Site – Bronx, NY Read More »

$1,300,000 First Mortgage – Freemason owned Mixed-Use property – Brooklyn, NY

Rich Salinaro / March 1, 2021 / Leave a Comment

$1,300,000 First Mortgage – Freemason owned Mixed-Use Property- Brooklyn, NY

This was another repeat borrower for H&O Capital Funding, and they coincidentally were also a fraternal order of Freemasons based out of Brooklyn. The borrowers had an existing first mortgage with H&O for $750,000 and needed to clear some cash for property improvements. The retail space at the property is fully leased to a small grocery store and the Freemasons occupy the upper 3 floors, where they want to do the renovation work. Although it took some time to get all board members to sign off on the loan, H&O was still able to close the loan in 3 weeks.

For more information on loans that we offer, visit our website.

…

$1,300,000 First Mortgage – Freemason owned Mixed-Use property – Brooklyn, NY Read More »

$450,000 Second Mortgage – Masonic Temple – Brooklyn, NY

Rich Salinaro / March 1, 2021 / Leave a Comment

$450,000 Second Mortgage – Masonic Temple – Brooklyn, NY

A fraternal order of Freemasons based out of Brooklyn, NY came back to H&O Capital Funding looking for a bit more cash to help clear off some debts that had accumulated during the pandemic. The borrowers, who rely on the proceeds from renting out the temple for various events, have not been able to host an event since the pandemic began. There really wasn’t a good option to quickly raise some funds to take care of their outstanding debts, aside from a membership assessment, which they desperately wanted to avoid. Based on their current relationship with H&O Capital they reached out looking for a small second mortgage to keep them afloat until things open up again. Despite a few title insurance issues, the loan closed in less than a month.

For more information on loans that we …

$450,000 Second Mortgage – Masonic Temple – Brooklyn, NY Read More »

What Is the Difference Between a Hard Money Loan and Bridge Loan?

Brenda Sigurdson / February 23, 2021 / Leave a Comment

If you’re planning on using an alternative to conventional lending on a real estate investment, you may look into a hard money loan or bridge loan, but how do you know which one to choose? Find out the specifics ahead of time to know which is a better fit for your scenario.

Knowing the difference between a bridge loan and a hard money loan is almost as straightforward as exploring the definition of each. Once you understand how the two terms are explained, the distinction between a bridge loan and a hard money loan becomes much clearer.

What Is a Bridge Loan?

Similar to how a bridge closes the space between two points, a bridge loan is useful to fill gaps in financing. Many borrowers will select bridge loans for things like investments or property renovations. A bridge loan tides you over financially during the gap in time between the purchase of a property, the stabilization of said property, and arranging its long-term financing. Bridge loans usually have terms of between a few months and a year, although terms can sometimes exceed a year.

What Is a Hard Money Loan?

Short-term, conventional commercial mortgages are the closest comparison to hard …

What Is the Difference Between a Hard Money Loan and Bridge Loan? Read More »

Fact: Hard Money Loans Could Be a Better Option

Brenda Sigurdson / January 26, 2021 / Leave a Comment

There’s a lot of misinformation and misunderstanding out there about hard money loans, but they can be a lot more effective than people think. The problem is that a quick Internet search will return tons of results with headlines like:

“What to Watch Out For”
“The Pitfalls of Hard Money Loans”
“Are Hard Money Loans Worth It?”

When you’re inundated with those as your first search results, it’s easy to dismiss hard money loans for your investing needs. With a bit more understanding, however, hard money could prove to be the ideal funding solution that you’ve been looking for.

When Are Hard Money Loans a Good Choice?

Real estate investors don’t always have the funds to match their drive and passion, yet finding people to invest with them can prove to be a challenge. If you’re in a position where you feel like you could be making a strong business move but you don’t have the means to finance your purchase, hard money loans might be a good choice. In fact, they might be your only choice.

What is it that makes these loans one of the better options? For starters, they’re quick. Most hard money loans can be closed …

Fact: Hard Money Loans Could Be a Better Option Read More »

$450,000 First Mortgage – 3-Family Bronx Investment

Rich Salinaro / January 21, 2021 / Leave a Comment

H&O Capital Funding Closes $450,000 Loan

Due to the Covid-19 pandemic, the borrower in this deal was hitting a lot of roadblocks as he tried to pay off his current mortgage that was coming due. Having only recently completed his renovation, the borrower did not have time to find tenants during this challenging period for landlords. A number of lenders turned him down indicating they would only proceed once the property was stabilized. In stepped H&O Capital Funding, who understood the dilemma the borrower faced and were able contrive a deal that worked for both the borrower and H&O Capital Funding.

For more information on loans that we offer, visit our website.

…

$450,000 First Mortgage – 3-Family Bronx Investment Read More »

$1,300,000 First Mortgage – Medical Office – Yonkers, NY

Rich Salinaro / January 6, 2021 / Leave a Comment

H&O Closes $1,300,000 First Mortgage on Medical Space

This borrower was in a tight spot when they came to H&O Capital for financing on their repurchase of a property from bankruptcy. Having successfully bid for the property, the borrower had very little time to come up with the cash for the purchase. He needed a lender knowledgeable of the market and location who wouldn’t be deterred by a borrower coming out of bankruptcy. H&O Capital stepped up and provided the funding he needed to close the deal just in time for New Year’s.

For more information on loans that we offer, visit our website.

…

$1,300,000 First Mortgage – Medical Office – Yonkers, NY Read More »

$2,450,000 First Mortgage – Ground Leased Site – Brooklyn, NY

Rich Salinaro / January 5, 2021 / Leave a Comment

H&O Closes $2,450,000 First Mortgage on Brooklyn site

This was another unique situation that needed a lender with know-how and experience to get closed quickly. In this deal, the borrower owns an old movie theater with a partner that is now encumbered by a 99-year ground lease to a developer. In and of itself, this is not all that unique a situation, however, only one of the owners (the borrower) was looking for financing creating an odd scenario. Thankfully for the borrower, H&O Capital was able to structure the loan in a way that allowed the borrower to get the funds they were looking for, while limiting the exposure of his partner’s interest. H&O Capital was able to close the deal in just shy of 3 weeks.

For more information on loans that we offer, visit our website.

…

$2,450,000 First Mortgage – Ground Leased Site – Brooklyn, NY Read More »

Timeline for a Hard Money Loan and What You Can Do to Help the Process

How to Find a Hard Money Lender for Your Commercial Real Estate Investment

$4,000,000 First Mortgage – Development Site – Bronx, NY

$4,000,000 First Mortgage – Bronx Development Site

$1,300,000 First Mortgage – Freemason owned Mixed-Use property – Brooklyn, NY

$450,000 Second Mortgage – Masonic Temple – Brooklyn, NY

What Is the Difference Between a Hard Money Loan and Bridge Loan?

What Is a Bridge Loan?

What Is a Hard Money Loan?

Fact: Hard Money Loans Could Be a Better Option

When Are Hard Money Loans a Good Choice?

$450,000 First Mortgage – 3-Family Bronx Investment

H&O Capital Funding Closes $450,000 Loan

$1,300,000 First Mortgage – Medical Office – Yonkers, NY

H&O Closes $1,300,000 First Mortgage on Medical Space

$2,450,000 First Mortgage – Ground Leased Site – Brooklyn, NY

H&O Closes $2,450,000 First Mortgage on Brooklyn site

Phone No:

Email:

Address: