How To Get A Hard Money Loan In 2025
Summary
AI-generatedThis video explains the concept of hard money loans, detailing their advantages like speed and flexibility for real estate investors who may not qualify for traditional financing. It also outlines the application process, required information, and potential downsides such as higher interest rates and shorter terms.
Key insights
Lenders typically want the total loan amount to be less than 70% of the property's After Repair Value (ARV) to ensure there's sufficient equity for the investor to profit.
Mistakes to avoid
Not having a clear exit strategy or a plan to renovate and sell/refinance within the typical one-year term of a hard money loan can lead to loan expiration, requiring extensions or risking property loss.
Tools & resources
Conventus Lendingservice
Conventus Lending is a hard money lender that originates loans across most US states and offers a discount on processing fees for referrals from Sean Pan's video.
Frequently Asked Questions
Curated by Learn STR by GoStudioM · Summary & key insights generated by AI · Reviewed by editorial