Updated about 11 years ago on . Most recent reply
Don't make this common mistake when applying for a hard money loan... here's a tip!
When applying for a hard money loan....
Complete all of the information possible when submitting your loan request to a loan. Be specific. Be detailed but don’t go overboard. Make sure all of the information is accurate and to the best of your knowledge. Inflating values, deflating scopes of work, or other incorrect submission mistakes will only cost you time and potentially money in the long run.
A lender cannot consider a deal unless the information is provided. Whether the submission lacks the complete subject property address, or omits the estimated ARV, or doesn't include the rehab (or indicates TBD), or doesn't include the information about the subject property (i.e. # beds #baths etc.), or a combination of any of these, chances are an incomplete submission to a lender is simply going to be ignored.
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Most Popular Reply
Couldn't agree more. Best to be as upfront as possible and properly present all the key information in a timely manner. A potential borrower's ability to do so is taken into consideration by lenders all the time (in addition to all the various "hard" factors that they take into account - whether the numbers make sense, creditworthiness of the borrower, etc.)