Welcome back for Minute Monday #7. Jared Fausnaught, Director of Sales, is back again to discuss one of the biggest myths surrounding hard money lending.
Myth: Hard Money Lending IS Predatory Lending.
This myth suggests that a hard money lender like WCP will lend to a borrower while knowing that the borrower doesn’t have the ability to successfully complete the project. The objective of predatory lenders is essentially to set a borrower up for failure so that they can take ownership of the property when the borrower runs out of construction money. This is where the term “loan to own” comes from. This couldn’t be further from the truth when it comes to hard money.
At WCP:
- We give our clients a realistic analysis of every deal they present to us
- We work with less experienced investors to ensure the success of their projects.
- We maintain positive and productive business relationships.
Our reputation as a lender is staked entirely on the success of our clients and repeat business. That’s how we operate, and that’s why we aren’t a predatory lender. Thanks for watching and we’ll see you next week!
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