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Sunday, 4 August 2013

Rigid Cash Lenders for Housing-Based Lending

By Tim Tavender


As the world economy slips toward another potential meltdown, the requirement for people to ensure stable finances has become paramount. In today's turbulent times, irrespective of whether you are an individual or a business, the need to maintain a regular flow of funds has become irreplaceable. Unfortunately, with the money crunch touching the lives of many of us, having the ability to finance serious costs can become a challenge for most people, and here's where hard money lenders come to the rescue.

As the name implies, moneylender singapore are private firms specializing in raising investment funds and giving them off as asset-based loans to qualified borrowers. So as to qualify for a hard money loan, the borrowing party ought to have an asset against which the loan will be approved. Though the amount of loan approvable by such banks depends on a range of factors, the pivotal factor ruling the top limit of lending amount is the value of the asset against which the loan is asked for.

Broadly classifying, Hard money loans offer two kinds of loans, specifically residential hard money loans and commercial hard money loans. As the names suggest, home loans are given against residential properties, while commercial ones are given against commercial properties. Though based on the same lending philosophy, when it comes down to the complexities of these private money loans, it is fair to say that they alter considerably in a bunch of aspects.

To begin with, a home loan offered by many financial company may have a maturity period ranging between 2 to 12 months; on the other hand, a loan taken against commercial properties can have a maturity period between 6 to 10 months, making the second a much safer bet if you're doubtful about whether the amount needed is repayable inside 12 months. Nevertheless so as to take a commercial hard money loan, you need to own a commercial property.

If you're one of many of us looking out for a trusty and expeditious way to meet a substantial fiscal need, going to hard money banks is among the best options you have on hands. With the processing time of such loans being mere 3 days, private cash loans are unarguably one of the quickest ways of addressing financial needs. Nonetheless it's critical to guarantee the reliability of the selected lender by judging their recommendations before filing any application.




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