Though Hard Money Direct Lenders are relatively little known and even less well understood as compared to traditional lending institutions such as banks, they play a crucial role in our financial system. However, one of the biggest hurdles facing potential borrowers who may be interested in a hard money loan is how to find a hard money direct lender they can trust. To help, we’ll go through some of the simple steps any potential borrower can take to find a trustworthy, hard money direct lender.
Because Hard Money Direct Lenders are not beholden to the same strict underwriting criteria as applies to traditional lenders such as chartered banks, they have much more flexibility in making loans where other lenders say no. For example, Hard Money Direct Lenders are able to lend on a range of unconventional properties that may not meet the stringent standards of a bank.
Freedom from these strict, oftentimes government-mandated lending requirements means that Hard Money Direct Lenders have greater flexibility in judging each loan application on its own merits. This means that Hard Money Direct Lenders are able to use their own knowledge and experience with regard to certain geographic areas, specific property types, or a particular business or industry in gauging the strengths and risks of a potential loan.
This is where an in-depth feel for the local real estate market, population, and economy can truly set one hard money direct lender apart from another. Hard Money Direct Lenders who possess detailed knowledge of the areas in which they lend–including local trends, tastes, and needs–have the ability to see opportunity where others do not, allowing them to extend credit in instances where another lender may turn down a potential borrower.
A hard money direct lender with a strong knowledge of the areas in which it lends also can serve as a more effective partner, helping to gauge changing trends and prepare for potential challenges. In short, finding a hard money direct lender, you can trust means first finding one who knows and understands the ins and outs of your geographic area and local real estate market.
When looking for a commercial loan, it also is of the utmost importance to find a hard money direct lender who understands your business or industry. As with Hard Money Direct Lenders with intricate knowledge of a local community, lenders who understand your business or industry will be able to see opportunities where others do not and will be able to better work with you to address challenges specific to your area of work.
Lenders with less knowledge of a particular business or industry will be less able to engage as a trusted partner in both embracing opportunities and avoiding potential pitfalls. Such lenders might grow needlessly concerned with conditions that do not neatly “check the boxes” mandated by conventional lenders or with up-and-down cycles that are normal to the particular industry.
In short, finding a hard money direct lender that you can trust means finding one who understands your individual situation, and that means a lender who has a familiarity with your particular business or industry. Otherwise, when opportunities for expansion arise or one is in need of some help to make it through unforeseen tough times, one may be stuck with a hard money direct lender who does not understand the opportunities presented to them or how to help a borrower overcome certain challenges.
One can learn a lot about how Hard Money Direct Lenders think of their borrowers just by the way borrowers and potential borrowers are treated. When looking for a lender you can trust, it is vital that you look for one who treats its borrowers as valued business partners and cherished customers rather than an annoyance or inconvenience that must be dealt with on their way to profit.
Unfortunately, some Hard Money Direct Lenders act as though their investors–rather than their borrowers–are their primary customers. At Fidelity Funding, we believe the reverse is true. Our borrowers are the core of our business, and we take pride in working with our borrowers to help them achieve success. Because what we understand –and what frankly seems to be lost on many other Hard Money Direct Lenders–is that when our borrowers succeed, we succeed. Therefore, we embody the principle that our borrowers’ success is equivalent to our own success, and we bring that philosophy into every interaction we have with our highly appreciated borrowers, without which there can be no us.
This brings us to our final tip for finding a hard money lender you can trust. It cannot be overstated that any trustworthy hard money direct lender will understand that its success hinges directly on the success of its borrowers and will, therefore, do everything within its power and abilities to help ensure the success of its borrowers.
Too often, short-sighted lenders treat borrowers as something less than essential to their lending business. At Fidelity Funding, we believe that this approach could not be more wrongheaded! We pride ourselves on working with our borrowers, taking the time to know their properties, businesses, and financial needs, because we know that in order for us to succeed, our borrowers must succeed, too.
We know that sorting through the endless amounts of information available online often can only add to the confusion when it comes to finding a hard money direct lender that you can trust. That’s why we hope that these tips will help you narrow the field, identifying lenders that will treat you as a valued partner and not an annoyance.
At Fidelity Funding, we remember that our borrowers’ businesses and properties represent years of hard work, ambition, and planning, and we continually strive to earn their trust. We are honored that our borrowers have placed their faith in us to act as trusted partners in reaching their goals. Contact us today to see what we can do for you!
Phone: (877) 300-3007