Owning a rental property is a great way to supplement your income, especially if you are retired and need a way to maintain or improve your lifestyle. There are some people for whom rent payments are their only income, and they live well. If you’re looking to purchase a rental property in California, you may want to look into hard money loans.
What Are Hard Money Loans?
Hard money loans, also known as private money loans, are loans that are financed through individual investors rather than through a bank.
What Are The Benefits of Hard Money Loans?
This can be an attractive option for many people looking for financing, because private money lenders are more flexible and their loans are processed more quickly than conventional loans. So let’s break down the benefits of financing your rental property with a hard money loan as opposed to a bank:
- Fast Approvals – When you work with 7 Day Loan Service to get your hard money loan, you will usually receive a same day decision. This will help you get your property financed quickly and efficiently.
- Any Credit Situation – Hard money loans focus on your equity, not your credit score. If you’re saddled with a low FICO score or credit irregularities, you can still get a loan – something that isn’t very likely if you apply through a bank.The added income from the rental property can help you pay off your loan more quickly, which can in turn improve your credit score. This can open a lot of doors for you and allow you to purchase more rental properties and make other important purchases in the future.
- Flexible Terms – Private investors have more room to be flexible and creative with the terms of their loans. When you finance through a private lender, you can get a loan that fits your unique needs, unlike a cookie-cutter loan that you may get from a bank.
- Less Paperwork – Hard money loans are processed with much less paperwork than conventional loans, which is a lot less hassle for both the lender and you.
- How Do I Get Approved ? When you work with 7 Day Loan Service, we can get you approved for a loan quickly and easily regardless of your credit situation. Contact us today to begin the process of purchasing your rental property.