Buyers and investors need quick access to substantial funds to compete in Florida’s fast-paced real estate market. Gainesville offers both buyers and investors a wide range of financing choices. Securing financing from a hard money lender is one option that many investors and buyers consider. A description of hard money lenders is provided here, along with information on what they are, why you would use one, the kinds of programs they provide, and why Gauntlet Funding is your Gainesville hard money lending group.
A hard money lender is a private lender, investor, or firm that provides short-term loans secured or guaranteed by residential and commercial real estate, usually a house, apartment complex, or warehouse. Hard money lenders are not held to the same stringent government requirements as conventional lenders. Rather, lenders establish their criteria for approval, focusing more on the value of the collateral and your ability to repay the loan within the loan period.
Applying for a conventional loan can be a lengthy and stressful process. Hard money lenders can expedite that procedure, particularly for applicants who have been denied a traditional loan and those who need funds right away. Hard money lenders also provide larger loan amounts than traditional lenders. The Federal Housing Finance Agency (FHFA) determines the maximum loan amount for conventional or confirming loans, which was $647,200 in 2022. Hard money lenders determine their own loan limits. However, the maximum loan amount may not surpass $15 million.
Additional advantages include:
Gauntlet Funding, your Gainesville hard money lender, can help you with a variety of financing options, including:
Get the money you want for residential and commercial property financing quickly with a hard money loan. You can withdraw a fixed percentage of the entire investment value to pay for repairs, renovations, or new construction because your property is your collateral. Because the property involved in the loan impacts the approval time, hard money loans have a speedier approval procedure.
A fix and flip loan is a hard money loan that allows you to quickly get the money you need to fix, flip, or renovate and resell a property. Many investors and buyers use this type of loan to fix and flip foreclosures, REOs, abandoned properties, and short sales.
In a real estate transaction, joint venture financing is a legally binding business venture between two or more parties that enables them to share obligations and resources. If you want to invest with a project partner, are looking for better loan terms, or can’t get approved individually, this loan type is an option.
Bridge loans, sometimes called interim finance, gap financing, and swing loans, are short-term loans that let borrowers acquire funding to purchase a new property before selling their current one. They generate instant cash flow and often have terms of up to a year.
Rental loans, often known as investor or landlord loans, are longer-term, asset-based loans for borrowers and investors seeking immediate access to funds to restore dilapidated or tenant-occupied apartment complexes, retail spaces, or office buildings.
New construction loans provide the funds needed for the construction, including the costs of building the structure, the land or lot where the new build will be, the cost of permits and other regulations, material costs, and other things.
Gauntlet Funding is committed to its clients and provides competitive terms, flexible hard money lending programs, industry expertise, and prompt closings. No matter what kind of property you have, from a brand-new, single-family home in a University Park subdivision to a Hazel Heights retail space, we have the right Gainesville hard money program for you. Because we are a direct lender rather than a broker, you can always rely on our expert advice and no middleman.
Check your loan rate using our hard money loan calculator and get in touch with one of our knowledgeable loan specialists today if you’re ready to finance your next Gainesville property.