Getting a loan from a bank to purchase a property is difficult. Borrowers are mostly disappointed at the speed at which their loan application are processed and this makes them to look the way of Atlanta commercial private lending. Moreover, financial institutions are always reluctant to offer you money to take your business at a higher level. It is because most financial institutions need to prepare a lot of papers before lending you money.
When dealing with lenders, you get hold of that property you intend to buy faster than when you try to get a loan from a bank. It is because the money from private money lenders is readily available. It enables you to tap a good deal when it comes your way. This may not be the case if you were among those applying for a loan in the bank.
Loans from private individuals have little paper work. The lenders do not give too much concern to your income or your credit but have their eyes set on the hard assets that you have especially real estate properties. They lend you money with favorable terms which you can easily meet.
The qualification of borrowing money from individuals is beneficial, because they do not rely on the money that you have. Therefore, there will not be any hurdles on the process of your loan approval. Provided that you own properties, then there will not be any need to have an income verification. Assets make you qualify for a loan.
Prepayment penalties that financial institutions impose on borrowers of money can be very inconveniencing especially when your business has increased in value. Commercial lenders invest in your property but they do not take advantage of your success. The hefty penalties by banks makes private lending a better option. This will cushion you from incurring losses.
Private money lending, through a lender leaves very little for you as an investor to worry about. The most challenging part of this is deciding on which loan applications to fund. Even if this is so, it is simple because expert underwriters will have thoroughly screened all the potential investments.
You capital will be best protected when you get a private lender to borrow money from. They will not fund you an amount that will exceed the value of the property. In most cases, they will not exceed seventy percent the value of your investment which will secure your capital well.
Tom G. Honeycutt is a full-time real estate entrepreneur in Atlanta, GA. Tom helps readers by providing practical and useful knowledge to better understand lending choices. If you are looking for Best Atlanta Commercial Real Estate Lending he suggests you visit his friend’s for more information.