Hard Money Loan Investments
Hard money loan investments are secured by real estate with first liens on investment properties only. Typical returns are between 8% and 12%. HardMoneyFast finds and services private loans to proven Dallas & Fort Worth real estate investors and developers. Loans are secured by the investment properties at a maximum loan-to-value ratio of 75%.
- Returns - Typical returns range between 7-12% by receiving simple, stable, and secure interest payments. You will receive ACH payments directly into your account each month. Most investors achieve 8-10%, while investing $500k or more allows for higher returns.
- Secure - First lien mortgages are exceptionally safe. We require significantly high equity of 25% from the borrower, lending only 75% LTV. If a borrower cannot pay interest, they can quickly liquidate the property for more. If a borrower defaults, the property is foreclosed and higher default interest rates are accumulated.
- Timing - Historically first lien secured mortgage investments were only reserved for institutional lenders, however that is starting to change. After the financial crisis banks have tightened their lending and deserted investors who have less than perfect credit, that has created an opportunity for private lenders to bridge the gap.
- Passive - HMF handles everything from acquiring, originating, and servicing the loan. There is no time cost or commitment from you. All deals are underwritten and vetted by our team and third party partners.
- Diversification - These are real properties you can touch, see, and visit. With diligent underwriting the loan investment is always protected by the value of the property. Less volatile than the wall street markets, even fluctuations in real estate market are stifled with investment properties that are acquired at wholesale.
- Private Lending - Small lenders are reshaping the market for real estate investors. Banks have distanced themselves from smaller investors which has created an opportunity in the hard money lending space and now it is available for passive investors to earn interest on their invested capital.
- Investment Properties - Lending is only provided to investment properties. HMF does not lend to homestead properties which are harder to foreclose on.
- Investor Borrowers - The typical borrower is a local real estate investor who flips or owns multiple properties. Obtaining a conventional loan is not always an option for borrowers who may need to close on a deal quick or have difficulty in underwriting with banks
- Underwriting - With primary focus and diligence on the collateral property along with the character, capacity and credit of the borrower, approvals are made. We are able to source loans that would typically be turned away by institutional banks while maintaining a secure position on the asset.
- Friendly States - We primarily lend in Texas & Florida. Both with strong and resilient real estate markets along with fast foreclosure processing faster than other states.
- Deal Flow - Each loan is funded individually and funds are placed in escrow ready for closing. When capital is called the loan has already been approved, verified, and a closing date has been scheduled.
- Loan Servicing - We handle everything from start to finish. You have no responsibility with the borrowers at all. Your privacy is protected and your information as a lender is not publicly available.
- Diligence - We only lend in markets we know and are with boots on the ground. Our team analysis properties and appraises them with knowledge of the local market. We invest our capital alongside you, no stone goes unturned.
- Construction - Many loans have rehab budgets, we supervise the work with site inspections and review all paid receipts, permits, lien releases during the construction process.
- Defaults - Simple, after 30 days of a loan being late we start foreclosure. We are continuously monitoring for insurance coverage and performance of the borrower. Higher rates are implemented immediately after a loan goes in default.
5900 Balcones Dr., Suite 8274
Austin, TX 78731
Austin, TX 78731
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