Mississippi hard money lenders can give you immediate financial assistance in case you need funding but cannot wait for weeks to search for traditional lenders. The financial assistance comes in the form of hard money. Also known as private lending, hard money lending is an alternative to conventional loans such as those available at your local banks or mortgage company. [ad#ad-top]Hard money lenders began appearing in the 1950s. When it happened, the credit industry began undergoing significant changes. During this era, hard money loans were utilized by property owners who had no means of getting capital and had no other option but to apply for private loans. The hard money industry crashed in the 1980s and 1990s, until it began resurfacing again in recent years.
Hard money lenders in Mississippi offer hard money loans for residential, commercial, construction, and land investment purchases. If you are looking for options regarding Mississippi hard money, there are actually varieties of hard money loans to choose from. All of these are characterized by high interest rates as a way to protect the lenders for lending their private money. They also have fast turn-around since credit information is not a deciding factor in granting a loan. Hard money loans are collateral-based loans.
Hard money acquisition loans are used to acquire real estate using the proceeds of the loan. Meanwhile mezzanine financing and loan is a loan secondary to a primary lender. This is considered as a debt instrument and is paid back at the time of sale. Hard money acquisition and development loans are used when a property is bought for the purpose of developing and improving it. For asset-based hard money loan, the collateral—be it property, equipment, inventory, or anything that can be used as a collateral—is put up for security. There is also the hard money bridge loan that is used only for a short time until permanent financing is secured. Those who require quick financing normally apply for this loan since it is the solution for any acquisition or business opportunity requiring immediate money. Meanwhile, hard money construction loan is often used for the construction of a building of a real estate property. The borrower can use the land or the improvements in the land as a collateral of the loan. There are still other types of hard money loans offered by Mississippi hard money lenders. You can seek out their advice as to the type of hard money refinance program that would be suitable to your needs.