In this tight lending market, a private money loan is not just a smart alternative to traditional financing, but may in fact be your best choice for capital.

• Equity cash out

• Refinance

• Acquisition

• Construction, remodeling, rehabilitation

• Residential and commercial

Advantages of a Private Money Loan

Private money lenders generally have the following advantages over banks and other financial institutions:

• Speed – Can generally fund in less than two weeks after receiving all necessary documentation.

• Lower Documentation Requirements – Documentation requirements are generally less than the paperwork required by banks.

• Credit Issues – Borrowers are not required to have high credit scores.

• Flexibility – There is flexibility in structuring loans (i.e. term, interest reserve, draw schedules, cash out, financing carry, etc.).

• Higher Risk Profile – Can accommodate difficult and hard to finance situations.

• Subordinate Liens – Will make loans in second lien position as long as the equity is sufficient.

A private money loan can be a smart alternative to both traditional and equity financing. In general, it’s considerably faster and easier to obtain than traditional financing, particularly in this tight credit market, and it’s considerably less costly than an equity investor, who typically requires 50% of the profits.