Hard money loans (also known as private money) are a powerful tool in the real estate investor's toolkit. When traditional banks or mortgage lenders may hesitate due to various reasons such as credit history or property condition, hard money lenders step in to fill the gap.
Hard money loans are short-term, asset-based loans primarily used by real estate investors for property acquisition, renovation, or development. Unlike traditional mortgages, which rely heavily on a borrower's creditworthiness, hard money loans are secured by the property itself. This makes them an attractive option for investors looking to capitalize on opportunities quickly.