Learning the Basics of Hard Money Lending

This Hard Money Basics video explains the difference between Hard Money Loans and Bank Financing for Real Estate Investors looking to find financing for distressed property. This video is brought to you by www.ShermanBridge.com

17 thoughts on “Learning the Basics of Hard Money Lending

  1. Question with hard money being shorter term loans how would I repay my debt if Im using the hard money to buy n hold properties for rent?

  2. I won't hire this guy lol, based on that example ROI is 69.4% (55% is sort of misleading) (i.e. using only his variables and WITHOUT taking into consideration any other costs that were missed like interest or agent fee). Closing cost are doubled, and even if you have to pay closing cost again to sale the property after it was repaired, then there is a big assumption that closing costs will remain without change. Additionally, the closing costs when selling the house can be absorbed by the buyer.  tan tan… OHH 20% of 55k is 11K not 11,500!! This guy is not good with math problems lol

  3. On the hard money loan, what about the $5500 or so interest on the loan (5 points and 12% apr) for 3 month hold, Title insurance and other holding costs(electric, water, permits, etc.) and 6% commission on the sale of your fixed up house.
    You only left out 12k-13k no big deal.

  4. You forgot the $6,000 in interest and the $2,800 in buyer's agent fees on the selling end. You're profit is now only $11,200. ROI = 112%

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