
A hard money loan is a type of short-term loan that is secured by real estate. These loans are typically provided by private investors or companies rather than traditional financial institutions such as banks. Hard money loans in San Antonio are often used by real estate investors to purchase, renovate, and flip properties.
One of the key characteristics of hard money loans is that they are asset-based, meaning that the loan is granted based on the value of the property being used as collateral, rather than the borrower’s creditworthiness. This makes hard money loans a good option for borrowers who may not qualify for a traditional loan due to poor credit or a lack of income documentation.
Another key feature of hard money loans is that they tend to have higher interest rates and fees compared to traditional loans. This is because hard money lenders are taking on more risk …