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Kannapolis, NC Hard Money Lenders

August 25th, 2010 Posted in North Carolina Cities

Kannapolis, NC hard money lenders have been lending out of the state of North Carolina for years. Kannapolis is a city of roghly 37,000 people. Kannapolis has a foot in the counties of Cabarrus and Rowan, and has a population density of roughly 1,300 people per square mile.

For borrowers that have very low credit scores, there are Kannapolis, NC hard money lenders. These lenders are able to get any class of borrower approved for Kannapolis hard money loans, if and only if the borrower owns real estate. Real estate in this business is referred to as a hard asset. So if a borrower has a hard asset to put up as collateral to a debt arrangement, then that borrower’s going to be able to get approved for a loan through a variety of hard money lenders in Kannapolis.

The issue isn’t and will not be whether or not the borrower can get approved for a loan, but how big of a loan the borrower will be presented with or offered. The problem with these loans is that they are notorious for low loan to value ratios or LTVs. This means that the property will appraised at a certain price, but the lender will only loan out a low percentage of that value. This is done to help alleviate and diversify the risk inherent to and of lending to borrowers with low credit scores. But if the borrower is okay with that characteristic, then he should look into a hard money commercial property loan.

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