What is Commercial Hard Money?It is a type of funding, typically from a private lender, that is backed by the value of the property, not by the credit worthiness of the borrower. It has lower LTV ratios than traditional funding because the property itself is used as the only protection against default by the borrower. The LTV is typically 50%-65%, and less for raw land. This type of funding carries interest rates even higher than traditional subprime loans. Interest rates are 10.5% - 14.5%. They are Interest-Only and Non-Recourse with no Pre-Payment Penalty or Exit Fee. Up to 3-year term available.
Why would I need Commercial Hard Money?It is typically used in turnaround situations, short term financing, and by borrowers with poor credit but substantial equity in their property or project.
When do I need Commercial Hard Money?
1) If you are looking for short term financing or need to take down a piece of commercial property quickly. We look at the asset rather than your credit. Our short term loans are based on the value in todays marketplace. LTV is typically, up to 65% of the purchase price, and on commercial development 65% of the after completion value or 80% LTC. Everything is on a case-by-case basis per todays marketplace.
Loans@PrimeauFunding.com Phone: 480.832.1616 or Toll-Free: 800.473.3100
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