If you are looking for a bridge lender, then there are certain qualities that you will want to ensure that you find in the right lender for your needs. Bridge lenders exist to provide hard money loans that are given for shorter periods of time then your average hard money loan. Bridge loans are used to ‘bridge’ the gap between financing and to help you keep your real estate while looking to secure new financing. This can occur if a financier pulled out of your project during the duration of your real estate mortgage as well as if you lost your financing for a variety of other reasons.
Bridge lenders work to offer you money so that you can keep your real estate property afloat. These types of loans can last anywhere from a few weeks to several years but are designed to work on a short term basis. If you are waiting on the next step of your financing to take place, then you can also take out a bridge loan to help you with the gap. There are many qualities that you will want to find in the right bridge lender. Listed here are several things to look for in the right bridge lender so that you can find the right bridge loan for your needs:
- Low interest rates for bridge loans. One thing that you will want to find with a bridge loan are lower interest rates. Of course, you will have higher interest rates then you would find with a typical real estate loan from a bank but when you are seeking a bridge loan, you will want to find the lowest rates possible. You can find them as low as 9.5 percent to 11 percent. You should continue shopping for loans if you are finding interest rates much higher than this.
- Low loan fees. You will want to seek out a private lender that offers loan fees in the 2-5 percent range.
- Interest only payments.
- The ability to get quick closings. You will want to find a lender that can close quickly in order to ensure that you keep your property.
- Ability to fund loans that have been rejected by banks or other traditional institutional lenders.
As you can see, there are many aspects to a bridge loan and a hard money lender. You will want to be sure that you find the right hard money lender that can help you with all of your hard money lending needs so that you can keep your property while waiting on either your financing to go through or finding new financing. You can also get other loans through the same type of hard money lender that will provide your bridge loans. You can even find marijuana property loans through a hard money lender.
If you are looking for the right hard money lender to help you with your financial needs and commercial real estate properties, then you will want to contact the experts over at Montegra. They are the leading experts in hard money loans and can help you get the loans that you need right away.