Hello All,
I want to know what is good to pay for a hard money loan. I found someone that wants to charge 17% on the money borrowed, no prepayment penalty, loan term for one year, and interest only payments. They also require 20% of the loan amount upfront and also a percentage of the resale price.
Is this a good HML to use or should I keep looking? They are from NY and loan to the surrounding tri state area.
I would suggest shopping around first, check REICLUB.com sites hard money lenders page and links, you should not have to come up with 20% up front.
Good luck
Thank’s I will do that.
Howdy youngone:
Your HML is too high. You can do better. I am paying 14% with 5 points with a mininum of 4 months interest and no % of the deal. They want to see some money into the deal and it is usually on 5% depending on the LTV. Like visionary said, shop around. I found several on google too
Thanks for the response I will be looking for another HML