Aspen, CO Hard Money Lenders
Aspen, CO hard money lenders operate out of a very affluent town in the county of Pitkin. Aspen is this county’s seat, which means all of the county’s administrative functions are housed in this township. It’s considered a “home rule municipality,” which means that the town dictates its own organizational structure. 5,500 people actually call Aspen home.
Borrowers in Colorado have seen their credit scores drop a good deal over the years. And so there’s this new mass of the borrowing public that has less access to funding and capital, which is important to the economy. Enter Aspen, CO hard money lenders. These folks are able to continue to lend to these borrowers, despite their credit scores, because of the way that Aspen hard money works. And the way that these hard money lenders in Aspen work is that they’re able to lend, not based on a credit score or credit history, but instead based on the sort of real estate that’s put up by the borrower as security to the loan.
The real estate will be assessed by the lender for a variety of ratios and values. For one, the lender will assess the quick sale value of the property, which is a percentage of the market value price, and takes into account current market trajectories. So if a market’s trending downward, the quick sale value will adjust for a slope, on top of a static percentage of today’s market value. This is in order to cushion the Colorado hard money lender from the effects of borrower-default.