Hard Money Lenders: What Are They?
As a Colorado hard money lender, we facilitate short term loans that are secured by collateral. The funds for these business loans are provided by private investors, and the approval process focuses on the value of the collateral (which is most commonly real estate). This means that borrowers who can’t get approval for traditional bank issued loans might be easily approved for Colorado hard money loans.
Our Denver hard money loans typically have terms ranging from 12 months to five years. But even though hard money is designed as a short term loan, your financing can often be renewed repeatedly until you are ready to replace it with permanent financing.
Hard Money Loans Colorado Benefits
Hard money loans Colorado and nationwide have higher rates than many other types of commercial financing, but these loans ALSO have significant benefits. First, the approval process is much faster. This is because Colorado hard money lenders focus on the value of the collateral. This allows them to forgo the time consuming process of combing through all of a company’s financials and credit history, resulting in much faster approval and funding.
Second, Denver hard money lenders provide a very flexible type of financing. While many types of loans place limitations on what funds can be used for, hard money allows borrowers to use the money for working capital, equipment purchase, real estate investment, construction, marketing, tax repayments, or practically any other need they have. (For more information on how hard money compares with traditional financing, check out Investopedia’s article on hard money loans.)
Colorado Hard Money Lenders: Next Steps
Our hard money loan Denver based team is ready to move quickly to get you funded. Our review process will include collecting basic information on the borrower, plus information on the loan collateral. Typically with not much more than a property address our team can handle a full review and appraisal of the collateral, providing you with a definitive funding amount, timeline and rates.