Different Hard Money Lenders VA
Most people focus on the payment terms and interest rate when they consider a hard money loan. These are important factors to consider , however, with hard money loans they should not be your main focus. The most important point to consider with thistype of loan is the criteria that are set by the lender who is underwriting your loan. In cases where the hard money lender requires that you have a certain credit score for qualification, you should be on the alert. They may be requiring criteria as stated by traditional lending institutions and the chances are that they intend on selling off your loan. You do not need this type of loan if you are a property investor as they do not offer you the autonomy and flexibility that you require.
Good Money Lender or Not?
Bearing in mind that the point made previously, the money lender who sells off his or her loans can create a problem for the borrower. An example of where this may become a problem for you is if you intend fixing and flipping properties. As you may be aware, there could be bumps in the road during a property rehab. Hard money lenders VA who service their own loans will be open to negotiation during these difficult times. You may be able to request an extension. However, if your loan has been sold off to another institution, you may not have the opportunity to negotiate.