Читать книгу Building Your Custom Home For Dummies - Peter Economy - Страница 89

Hard money comes from private investors who specialize in making loans on real estate. Hard-money lenders generally aren’t concerned with credit or income. They hope to make high-interest yields or make money by taking back your property through foreclosure and selling it at a profit. Typical hard money runs a number of percentage points higher interest than the prevailing market rate, plus 5 percent of the loan amount in upfront fees, called points. This high interest seems expensive, but if banks or owners won’t give you a loan, then this choice may be better than not buying the lot at all. Because hard-money lenders like equity, they usually want as much as a 50 percent down payment.