Current updates on the real estate market, private money, hard money, and trust deed investing.


    Private Money 101: A Basic Guide to Understanding Hard Money Loans

    Hard money loans are often misunderstood, in part because of shady lenders who tainted this type of loan’s reputation by providing risky loans that left real estate investors dry with no property to show for it. Now it’s time to dispel the myths and talk about what hard money lending is really all about. This article will provide you with some basic information to get you started.

    Picture of Ted Spradlin Ted Spradlin Jul 3, 2018 6:45:57 AM

    Hard Money and Private Money Commercial Loans

    Where there’s commercial real estate, there’s usually money. While most people associate buying and selling property to make a profit with the residential market, it’s not unusual to take the same approach to commercial properties. If you’re seeking a commercial loan and you’re coming up against barriers, you might find that hard money financing is an ideal option. Choosing a private commercial real estate loan is an excellent way to secure cash quickly. If you’re ready to transform the way you approach commercial finance, let’s explore the world of private lending together.

    Picture of Ted Spradlin Ted Spradlin Jun 20, 2018 3:06:01 AM

    Hard Money & Private Money Hotel Financing

    Over the past few years, we’ve received dozens of hard money and private money hotel financing requests from existing owners doing a major overhaul as well as buyers seeking acquisition funds to stabilize a property before taking out a long-term bank loan. This blog post outlines a recent competitively priced private money hotel acquisition loan for an experienced operator that we believe would benefit many other hotel owners.

    Picture of Ted Spradlin Ted Spradlin Apr 10, 2017 5:16:44 AM

    Hard Money Business Purpose HELOC

    Believe it or not, there is such a thing as a hard money business purpose home equity line of credit (HELOC) available in California for residential and commercial properties. At First Capital Trust Deeds, we have closed a few of these loans over the past couple of months and continue receiving inquiries from self-employed real estate investors every month for the program.

    Picture of Ted Spradlin Ted Spradlin Dec 27, 2016 11:31:34 PM

    8 Things to Know About Owner Occupied Private Money Loans

    A portion of our business at First Capital Trust Deeds comes from home buyers who need to use owner occupied private money loans to close on the acquisition of a new property. Most of the time, since we provide private money loans and hard money loans, we are the loan option of last resort since most home buyers prefer the ultra-low interest rates and favorable terms of conventional financing.

    Picture of Ted Spradlin Ted Spradlin May 9, 2016 9:48:21 AM

    Know Your Exit Strategy Before Taking Out a Hard Money Loan

    Having a definitive exit strategy is one of the most important things to determine for a borrower who utilizes private money or hard money financing to acquire real estate. Hard money loans are usually short-term in duration and more expensive in comparison to traditional bank financing, with terms ranging anywhere from nine months to three years and interest rates starting around 7.99% to 12.00%. Therefore, it’s best that potential hard money borrowers know what they are getting into and how they will get out of the loan before starting the process.

    Picture of Ted Spradlin Ted Spradlin Mar 29, 2016 10:00:08 PM

    How Business Purpose Loans Become Consumer Purpose

    Every month or so, we’ll receive an application for a 12-month business purpose hard money loan on an investment property with plenty of equity to come in below the 65% LTV threshold.  Yet during the process of underwriting the loan, we realize that what looked like a straight forward business purpose bridge loan on an investment property has now become a consumer purpose hard money loan.

    Picture of Ted Spradlin Ted Spradlin Mar 15, 2016 2:12:18 PM

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