Hard money loans in Austin Texas provide a method of obtaining real estate financing, without the need to go through a traditional bank or commercial lender. These types of loans offer a few key benefits, including competitive interest rates, flexible terms, and no need to commit personal capital. Read on to learn more about hard money loans in Austin Texas and what you need to know.
Hard money loans in Austin Texas come through specialty lenders, as well as private investment groups. This means there’s no unnecessary red tape or bureaucracy, and the funding process is substantially faster. All of this, not to mention the fact that the asset acts as collateral, so there’s no undue burden on the borrower.
Key Benefits of Hard Money Loans
If you’re unfamiliar with hard money loans in Austin Texas (or elsewhere in the Lone Star State), it’s important to understand their advantages. Here are the top benefits of hard money loans:
- Rapid funding. Unlike traditional lenders, hard money lenders provide access to funds in a very short amount of time.
- Competitive interest rates. Although hard money lenders do charge a bit more in interest, the trade-off is worthwhile because there’s more flexibility. And, the interest rate is usually not that much more than traditional commercial financing.
- Flexible terms. Instead of lasting for years, hard money loans include terms ranging from as short as six months up to a year or year and a half and two and up to five years.