While new real estate investors may think that the smart thing to do is shop around asking about interest rates, experienced investors know there are more factors to consider than that in finding the right lender to work with for the real estate investment being considered. The loans we extend are short term loans, and when we directly fund a deal we don’t charge interest for the whole term if you pay off the loan early. Many traditional lenders will not do this if they include any of the interest in the amount financed, they won’t return it to you when you repay the loan before maturity.
You need to determine how much the whole deal will cost. A higher interest rate over a shorter term might be less expensive than a loan that allows your deal to stretch out. And if you cannot even get funded by a lender with lower rates then you are paying the highest price of all, that of not even doing the deal at all!
Because real estate investing has long been recognized as one of the most reliable roads to financial freedom prospective investors need to choose help and resources that will not waste time or money. You want to find the programs and partnerships that utilize an approach that aligns with your goals. All of Do Hard Money’s real estate training and investment funding programs are based on the experience of our founder, Ryan G. Wright. Ryan began as a real estate agent and then moved into investing. During the financial downturn of 2007-2008, he continued to make money with his real estate when others lost money. The principles and methods he used are the foundation of everything that we offer to help your business grow.
Remember when assessing a loan of this type that criteria for determining whether or not the loan is right for you that these loans are different from traditional loans or bridge loans. Moneylenders extending those types of loans are subject to a variety of regulations that we are not. These real estate investing loans need to be evaluated in terms of your particular investment opportunity. You will want to make sure that you look at the costs for the period of time that the investment exists.