Episode 030 - Hard Money

<p><span style="font-weight: 400;">When you’re dealing in real estate, the simple truth is that money solves problems. As a real estate agent, knowing where to get money when you need it and what kind of relationship you have with money can be the difference between solving a problem and losing a client. You have to know what your options are and how you can best use them. So, this week we’re going to talk about</span> <strong>hard money</strong> <span style="font-weight: 400;">and how it can be used in thinking outside the box to create solutions for those problems’ money can solve.</span></p> <p><span style="font-weight: 400;"> </span></p> <p><strong>What is Hard Money?</strong></p> <p><strong> </strong></p> <p><span style="font-weight: 400;">Hard money is a short-term loan that can be borrowed from a non-traditional lender at high interest rates. Since the money isn’t coming from a normal lending source like a bank, the terms for establishing that credit can be different depending on the situation and the lender. These loans are regulated under consumer protection laws and can only be used for non-owner-occupied houses, so it’s meant to be used for investment properties.</span></p> <p><span style="font-weight: 400;"> </span></p> <p><span style="font-weight: 400;">For agents, this can be a powerful tool if nurtured correctly. Finding a hard money lender that you can depend on means building a relationship based off sound judgement. This falls under the investment side of the business, the side that most agents have trouble slipping into once they’ve gotten the hang of the traditional side of the business.</span></p> <p><span style="font-weight: 400;"> </span></p> <p><strong>Lean on Experience Where You Can</strong></p> <p><strong> </strong></p> <p><span style="font-weight: 400;">In the podcast we go over some scenarios about where hard money lending can be used to find a unique solution for clients even in the market we find ourselves in today. So much of what’s possible on the investment side of real estate is