Looking for a land loan in California? Have you considered a hard money loan?

Posted by Elite Internet Technologies on October 14th, 2016

If you’re looking for a land loan in California, chances are you may have been finding it a pretty irritating process. The mainstream credit market isn’t famous for its efficiency, and it’s not too well known for its understanding, either.

If the mainstream market leaves you unimpressed, there is another option – Hard money loans. Hard money loans are loans backed by collateral. As a rule, you need 35% of equity, but how different is that from the usual credit market for a land loan?

Many people seem to think that hard money loans are the better option. Private money lenders in California aren’t exactly going broke as a result. There is a bottom line here, and it’s not hard to find.

The bottom line is that doing straightforward business on clear cut financing terms is better than doing no business in the mainstream market. Another rather persuasive fact is that the hard money loan market, which currently offers loans between 8 and 13% is arguably considerably more competitive than the more cartel-like mainstream market, where the interest rates usually only vary by a quarter of a point or so.

If you’re somehow getting the impression that borrowers in hard money loan market in California are also getting better deals, that’s a major talking point. Hard money loans tend to be short-term loans, but the strong positive is that short-term loans don’t accrue as much interest as long-term loans.

Probably the best example of hard money loans offered as land loans is provided by a company called California Private Lenders. This is a major league hard money lender in California, which is interestingly also famous for providing a wealth of information about hard money lending. That seems to be a good idea for them, because they are doing excellent business these days.

To find out more about hard money loans for land purchasing, visit their website here at http://cplenders.com/. Take a little time to read the large amount of information they provide about hard money lending, too. It’s very interesting reading, and it may well be worth your while to enquire about their services for yourself.