Monroe Funding Corp

Making the Decision to Rent or Sell

LogoWhen it comes investment properties, investors will typically need to evaluate a pair of options: rent or sell. Selling is largely viewed as a short term solution while renting is considered long term. As with anything else, there are pros and cons to each option, one of which may make more sense than the other.

Spotting the Signs of a Potentially Bad Investment Deal

LogoVirtually every real estate investor wants to score a great deal. To achieve that, however, a considerable amount of due diligence is necessary to make sure the deal is a good one. There are easy ways to look for signs that may indicate whether a deal is a good one or not.

Hard Money Lending When It's Time to Refinance

LogoFor anyone entertaining the prospect of refinancing a personal property, a hard money loan will indeed be based on the value of the property. This loan can be as short as twelve months or as long as five years. The refinancing convenience aside, hard money loans frequently serve as bridge loans which assist with "bridging the gap" between the existing property owned by the borrower and the property they wish to purchase. A hard money loan is also useful for a fix and flip project, or to purchase a home if the borrower's credit history isn't up to par.

What to Know About Hard Money Loan Interest Rate

LogoSupply and demand is one example. If several private or hard money lenders are working in the same area, a borrower may receive a lower rate as a means of boosting competition. On the other hand, interest rates may be higher if the particular private money lender is among the few willing to lend money in the area a borrower is considering.

Common Terms with Fix and Flip Projects

LogoReal estate investors choose hard money loans for various reasons, among them their convenience when working with fix and flip projects. Money is received promptly, a property can be improved quickly, and then sold for a significant profit. For people that are still new to fix and flips, however, there is a lot of terminology that may seem strange.

Borrowing with Thin Credit

LogoWhile lenders look forward to granting loans, there is the possibility of risk, which is why essential factors like income, credit, and assets are closely examined to ensure that the borrower is financially able to make the loan payments. However, there are arguably numerous individuals that have credit scores or reports that aren't current or they do not have sufficient data for a lender to take into consideration, something that goes by the name of "credit invisible" or "thin credit".

Understanding Free and Clear Properties

LogoFor a prospective homeowner, free and clear means that the property has no liens and the mortgage obligations have been fully taken care of. These types of properties are highly regarded among buyers and investors wishing to purchase an investment that isn't attached to another loan. Considering most investors require a loan to begin with (i.e.: hard money loans), these properties make sense so as to avoid having to make payments on a pair of different loans.