699_ Hard Money: Where to go when the bank says no - News from an expert
Larry sat down with Steve Replin, attorney and author of a new book, 'Hard Money: Where to go when the bank says no' and started out with this question, "I like that title, but can you define Hard Money?" Steve replied, "Hard money is a technical term for a type of lending that focuses on collateral as opposed to the borrower. You go to a conventional bank you'll notice they're going to ask for a credit report, income tax returns, financial statements and so on and so forth, that's all about you the borrower. Hard money lenders on the other hand, are going to want to know about your collateral, how many bedrooms, bathrooms, what the rental income is, how big the site is, how it's zoned, so on and so forth. It actually allows a loan to be analyzed and approved in a matter of days as opposed to a bank that will typically take 30 to 45 days to make a decision and most of time, these days they say no." Steve went onto addressing the three big typical concerns, traps, or challenges. "I would give this advice to borrowers looking into the hard money arena; The first thing I would look out for is what we affectionately call "loan to own" lenders. These are lenders that make the terms of the loan so difficult that if you miss a payment by 30 seconds, they're starting foreclosure which basically renders your property un-financeable. And they view it as way to own your property at a wholesale value. Lots and lots of those folks out there. Sadly it's a business methodology that has made a lot of lenders rich and lot of borrowers poor." More to listen to...
Related Links: Venture Capital Channel || Replin & Rhoads ||
Economy Builders || Podcast Directory || Mastering Change || Keywords: Steve Replin, Hard Money, Where to go when the bank says no, Banks, Venture Capital, Replin & Rhoads, Entrepreneurs >> Channel: News 6281511 bytes - 7/27/09 LISTEN