Updated over 10 years ago on . Most recent reply
Private money loans for ground up construction.
Back in the good ole days (2000-2006) I was fortunate to work with a experienced private money lender that had a very easy loan approval process and simple terms for new ground up construction.
The loan approval process consisted of me presenting plot plan and house plan along with estimated building cost, an approximate selling price and a few comps for review. He would then review and approve the project on the spot, possibly making a revision on the loan amount if he thought it was going to require more money. But that was the extend of it! No appraisal or additional docs, it was great!
The terms were strait forward and simple, no points no fees. I just had to come up with 50% of the vacant land/lot money and he would finance the rest of the project with a 12 month note @ 12% simple interest (as the money was borrowed), construction draws were every 2 weeks on a voucher type system and most projects were completed in 4-6 months. Again it was great!
I realize I had it good and don't expect to find a lender that is that easy to work with, but does that type easy/simple private money lending exist anymore? And if it or a similar type does exist, where can I find it in Oregon?