Hard money lender wants a $2k DD fee & $5k appraisal

[Natalie Brown]

My client is looking for hard money. I am not very familiar with their processes. They want him to pay a $2k due diligence fee up front and pay for an appraisal of $5 up front with no guarantee of funding. Keep in mind he has already paid for an appraisal with another company and they didn't fund because he was 25k short of liquid funds. He has 2 other properties that is paid for.

My question is...is this normal dealing with hard money lenders? Wanting so much up front and not guaranteeing funding.