Hard Money Lenders in Kansas City

When to Choose a Hard Money Loan

When you need a hard money loan in Kansas City for your fix and flip real estate investment, turn to the professionals at Crossroads Investment Lending. We understand that hard money loans, or private money loans, aren’t right for everyone. It’s important to know when you should choose a hard money loan and when you shouldn’t. We want our customers to be educated before they borrow, which is why we’ve prepared this information for you. We’ll let you know what types of properties hard money loans are good for, what types of deals they should be used for, who should use hard money loans, and explain interest rates for hard money loans. Contact us today to learn more or get your free estimate.

Property Types for Hard Money Loans

As a borrower, you can obtain a hard money loan on just about any type of property. Hard money loans can be used for single-family residential, multi-family residential, commercial property, land, and industrial property. Some hard money lenders will not lend for owner-occupied residential properties. If you have any questions about specific types of property, we’d be glad to let you know if we can provide you with a loan.

What Types of Deals Should Hard Money Loans be Used for?

While hard money loans are great for many deals, they aren’t always appropriate. If you’re buying a primary residence and have good credit and income history and no issues such as a foreclosure or short sale, conventional lending through a bank may be the best way to go. Hard money loans are the best choice when banks are not an option or when you need the loan in a short period of time. Hard money loans are perfect for fix and flips, land loans, construction loans, buyers with credit issues, and real estate investors who need to act quickly.

Who Should Use a Hard Money Loan?

Hard money loans are often used by real estate investors. They provide the opportunity to get the money they need quickly. Hard money loans can often be funded within a week, compared to the 30 to 45 days it often takes to get a bank-funded loan. Real estate investors are often competing with others, meaning they need funding fast so they can close on a property. Hard money loans are also good for borrowers who have been rejected by banks for conventional loans. Whether you have a short sale, foreclosure, or other credit issues in your history, banks can be judgmental. They may also deny a loan if you’ve recently started a new job. Hard money lenders look past these issues to get you the money you need.

Interest Rates & Points for Hard Money Loans

The interest rates and points charged for hard money loans vary based on the lender as well as your region. The amount of competition in your area may result in decreases in prices. Hard money lenders take on more risk by offering loans than conventional banks do. For that reason, hard money loans have higher interest rates than conventional loans. Hard money loan interest rates typically range from 10 to 15% depending on your specific lender and the perceived risk of the loan. Points often range from 2 to 4% of the total amount loaned. Interest rates and points can also vary significantly based on the loan to value ratio.

Same Day Hard Money Loans

When you need funding for a fix and flip in Kansas City, you can count on the hard money lenders at Crossroads Investment Lending. We specialize in investor rehab loans, bridge loans, and hard money loans. As hard money lenders for rental properties, we work with you to determine the best type of loan for your real estate investment. We offer fast and efficient private money lending with clear and concise lending options. Contact us today to learn more and request your free estimate.

Why Choose Us?

  • Family Owned & Operated
  • Local Fix & Flip Finance Experience
  • All Credit Scores Considered
  • Close in 7-10 Business Days
  • Short Term Loan for Investment Projects