Hard Money Rehab Loans are Ideal for Distressed Asset Purchases

1. Hard Money Rehab Loans are Ideal for Distressed Asset Purchases

2. For foreclosures and other distressed assets in need of immediate repairs, hard money rehab loans are the easiest and by far the fastest loans to get for real estate investors.

3. Particularly in the case of a multifamily property, which may have a long record of deferred maintenance, a bank may not step up to fund. Private money or hard money loans, can fund quickly and with less hoops to jump through.

4. When trying to purchase an investment property at a discounted or distressed sales price, time is always of the essence. If a bank loan could keep a good deal from taking place, a private money loan may be able to take it’s place.

5. But what are hard money rehab loans used for? Take the following 4 examples of how real estate investors have been taking advantage of the availability of non-bank, private money loans, also called ‘hard money rehab loans.’

6. 1. Single Family Rental Property Foreclosure Purchase: Property needs repairs and many years of neglect so purchase price is discounted.

7. 2. Discounted Commercial Note Purchase: 38 unit multifamily note acquisition loan. Property needs repairs and new fixtures. Minor exterior updates.

8. 3. Foreclosed 11 Unit Purchase: Vacant property in need of minor cosmetic repairs and deferred maintenance.

9. 4. 5-Plex Private Seller Sale: Family-owned property for many years. Property needs some work, but buyer is getting a discounted price due to private seller sale.

10. These are all examples of recent loans we’ve closed for our rehab investors. Not all of these examples are distressed asset purchases, but all are good examples of

11. how hard money rehab loans are being used to purchase investment properties in need of repairs or deferred maintenance.http://privatemoneyutah.com/hard-money-rehab-loans-are-ideal-for-distressed-asset-purchases