Have you considered working with a Hard Money Lender, but are a little leery of the process? First and foremost, in order to answer the questions you should expect from a hard money lender, you must fully understand your deal. If you know the specifics of the property and the estimated repair budget, you’re in good shape! While a good portion of investing may seem like common sense, here are 5 questions you should expect to answer upon meeting with a hard money lender.
- Explain the property. What is the address? How did you get it? What is the layout? Do you have the property under contract? You must know the basics about the property and the deal for any hard money lender to take the deal seriously. However, if you need assistance in figuring these specifics out, we are certainly here to help!
- What is the repair budget? This is where you will have to detail your expenditures for the property. What will this money get you? What is the scope of work?
- What will the after repair value (ARV) be? We can conduct an underwriting on the property to provide you with a solid ARV for the property.
- What is your timeline from start to finish? Having a solid timeline from the purchase of the property through repairs and the listing of the property will help keep you on track throughout the process.
- How much of your money do you have to invest in this property? The collateral is important because it lets a lender know that you are serious about the deal. The more serious you are, the more likely it is that you will get a loan.
At WCP, we have compiled everything you need to know into one checklist for your convenience. To get a copy of the checklist, send an email to email@example.com
If you are unsure of your renovation timeline or costs, we will be happy to help you figure out the specifics. Our team will be able to tell you if the number you have in mind is the right one for that particular property.