Welcome to our two part series of “Is Hard Money an Option and When”.  We will be discussing in some detail when hard money lending is an option, and when a person should capitalize on this opportunity.

Is Hard Money a Viable Option?

Not all individuals can complete the cumbersome process of traditional loans and fulfill the documentation required. More often, due to credit score, inconsistent loan history and even insufficient documentation, loan applications are often rejected. This will not only include those who don’t qualify, but even those who can afford the loan might get rejected. In such scenarios and when a person needs cold hard cash, they can opt for a Hard Money Loan. Hard Money Loans are given against collateral, such as a Real Estate Property. States laws vary for hard money lending, so it is ideal to go with lenders in the respective state. So, if you are in Arizona, Hard Money Lenders, Arizona are your best bet

Hard Money Lenders in Arizona don’t have exhaustive or stringent procedures. More often, the approval is within few minutes to an hour, or two. Since the property is based on the collateral, a real estate property, it is the property that is considered and valued. Most lenders will loan up to about 80%, or in some cases less than 65%.  Sometimes the lender will be comfortable with lending the full value. At the end of the day, it is not the person or their capacity, but rather, the value of the collateral that is more important to Arizona Hard Money Lenders. There are lenders who don’t even look at the documentation and other papers submitted and also don’t have a standard agreement drafted. Rather, they customize the agreement and terms for the individual in question, making this a win-win scenario for both parties involved.