Reasons To Fund Your Investment Property with New Silver
It doesn’t matter if you are a buy and hold real estate investor or a house flipping specialist. New Silver is one of the highest rated hard money lenders in Mississippi with a selection of real estate loans perfectly matched to meet your real estate investing needs. Unlike a conventional mortgage which can take ages to complete, our hard money loans can be approved online in less than 10 minutes, with an instant proof of funds letter to help you secure the purchase. We are ready to help you solve the funding needs of Mississippi real estate investors.
Frequently Asked Questions
Yes, New Silver is a private money lender that provides asset-based loans at scale. With asset-based lending, the underwriting process can be more lenient than conventional lenders. This is because the underlying value of the asset is more important than the financial background of the investor when setting the terms of the real estate loan. As a result, the financing and credit score requirements with a private money loan are less stringent, income verification is not needed and the debt-to-income ratio of the borrower doesn’t matter. Plus, we can get you approved and closed within 7 days.
Yes. We offer ground-up construction loans for real estate developers that build single family (1-4 unit) residential properties.
The main reason hard money loans have higher interest rates than conventional loans is because of the risks involved in the transaction. Unlike a residential home purchase, a fix and flip project could run over budget or the real estate market could take a turn for the worse, making the property difficult to sell quickly.
In other words, you could potentially lose money with a fix and flip. This risk is applicable to the borrower and the lender. The higher interest rate compensates for the additional risk that hard money lenders are willing to take on, and it also explains why a traditional lender is likely to reject an investor’s application for a house flipping loan.
The origination fee (loan points) is usually between 2-3%, but this varies based on the loan amounts, the loan term, the ltv and the experience of the investor. To work out the expected monthly payments, it is best to use our hard money loan calculator.
On this point, it is also worth noting that the monthly payment of each New Silver hard money loan program works on interest only payments. This helps reduce the cash flow burdens of the investor while the project is underway. It is a benefit that you can unlock when working reputable hard money lenders in Mississippi.
In short, yes. While our credit requirements are not as stringent as a traditional mortgage lender, we do review the credit history of all our borrowers and private investors. If you’re worried about bad credit, it is best to look at our loan products page to see if New Silver is a good fit for your needs.
Right now, we do not specialize in commercial hard money loans. With that being said, the maximum loan amount of our hard money loans should be big enough to cover both residential and commercial projects.