Our Blog

Santa Cruz Hard Money Loan Funded

This transaction was recently funded for a vacation rental located in Santa Cruz.  The property was great and located right on the beach.  The investor who visited the property loved it and we were able to obtain funding with no trouble for our client at great terms.

With banks tightening up their lending standards, many of our clients who own property and are looking to purchase investment property have difficulty obtaining the loan they deserve from the bank.  Utilizing our financing in order to acquire an investment property is a good two step process to employ.  Once the property has been acquired and income can be shown from tax returns, often times bank financing becomes more available to take out our higher cost hard money loan.

In this situation we were able to secure 65% of the purchase price in funding while keeping the interest rate below 10%.  This was due to a combination of the quality of the property, location of the property and integrity of the borrower.  We are often times able to secure excellent hard money terms for properties located in desirable areas.  Some of the more desirable areas we deal with include the coastal areas, the San Francisco Bay Area, parts of Los Angeles and San Diego and others.  Typically speaking, if property values have held up in an area through the recent downturn we can usually be more aggressive on rate and/or loan to value.

In some cases we can be much more aggressive on our loan to value ratios.  For example, borrowers with very short term needs, say 9 months or less, we can often finance 75-80% of the purchase price of a property.  In addition, on this particluar program we can structure a loan that will defer many of the fees until the time the loan is paid off.

For more information on these and other loan programs we offer please visit our California hard money lending page, or call us directly at 877 462 3422.