We are a privately held, Texas Real Estate investment company. As a private money investor, we have the experience and capital to originate and purchase loans secured by real estate.
We Originate Loans...
- We use private funds to make soft money loans secured by commercial or investment real estate.
- We originate 1st lien commercial loans on sf homes, lots, land, commercial bldgs and other small commercial properties.
- We handle all the details. You work with the same loan closer from beginning to end.
- We do not re-sale loans to other investors, promoting a more personal relationship with the client for the life of the loan.
We Buy Loans...
- We purchase 1st lien residential and commercial mortgage loans.
- We purchase distressed mortgage backed securities, subprime loans, scratch and dent loans and seller carried back notes.
- We offer competitive bids for non-performing and performing mortgages or portfolios.
- We make quick decisions, usually within 1 week...
Frequently Asked Questions
Why Sell Your Private Mortgage Note?
Our clients choose us to sell notes for a wide variety of reasons. Some of the most common reasons we hear include...· An immediate need for cash
· Help in buying or remodeling a new home
· Needing to diversify in other investments
· Unexpected Medical expenses
· To pay off debt
· Stopping a foreclosure or bankruptcy
· Cash flow for a business you may own or want to start
· Qualifying for Medicare, Medicaid or assisted living
· Stop messing with collecting payments and servicing the note
We close in 15 days.
We are not brokers. We are investors and pay top dollar.
Why use Private Money Lending?
People often refer to private money lenders because many real estate transactions require quick responses and quick turn funding to secure a deal. Conventional lending through banking institutions can be anywhere from 30 to 45 day closing timelines that cost the potential buyer to lose out on a lucrative deal. Conventional lending also requires a certain credit rating for approval. In most cases, Investors call on us when they either do not have the time, credit to qualify at a bank, or patience to work through traditional financing options but still want a fixed interest rate with amortized terms and not a balloon note. We offer SOFT private money lending that can get funds to work for you in under two weeks! Lower interest rates, 10 – 20 year terms and quick loan processing!
What are some of the advantages of using soft money lenders vs hard money lenders?
· Soft money loans have a lower interest rate. Where hard money loans are between 11%-15%, our soft (private money) loan rates range from 8.5% to 10.5%.
· Our loans can be between 10 and 30 year amortizations. Hard money loans are usually interest only loans that are to be repaid in one or two years and most commonly in 6-24 months. They pursue the fees, we pursue the interest.
· We also never sell a loan to another investor, so your relationship stays with us as long as the loan is in place.
What types of transactions are handled?
We offer financing on non-owner occupied investment properties. Some of these transactions include:
· Cash Out Refinance
· Short Sales
· SFR (single family residence)
Do you only lend in Texas?
Do you work with brokers?
YES! Contact us to discuss how we can help each other and our clients.
What is the maximum loan amount?
Typically, we offer loans between $25,000 and $1,000,000. But tell us what you have.
How long are the loan terms?
We offer terms of 60-240 months, 5 years, 10 years, 15 years and 20 years.
Are there minimum credit requirements to obtain a loan?
There is no minimum credit score for loan approval. Loans are based on the value of the asset and financial position of the borrower. Credit checks are not required but may be requested to determine debt to income ratio to confirm borrower can afford monthly payments.
What are your terms?
As a private soft money lender, we typically offer interest rates of 8.5% to 12%, with 3 ½ points, and a $650 loan document fee.
What is a point?
A “Point” is an upfront fee on a loan that is incurred at the time of funding. Each point is equal to 1% of the loan amount.
What is the down payment requirement?
This depends on the current marketable value of the collateral. We typically lend up to 70% of the LTV on improved properties and up to 50% LTV on land only properties. However, we review each transaction separately, let us know your situation and we will discuss the options available that might fit your needs.
What is the maximum LTV?
Loan - to - Value (LTV) calculations on properties are determined using a current appraisal, BPO (broker priced opinion) and Contract Sales Price. The maximum LTV in MOST cases is 70% of the current marketable value. In certain circumstances there may be flexibility in LTV.
Will you offer construction loans?
Typically, no. We do consider each loan request on a case by case basis so it never hurts to inquire. Construction/Interim Construction loans may be considered depending on different factors of the collateral/project.
Do you charge prepayment penalties?
We have a 2% prepay penalty if the loan is paid off in the first 24 months. Subject to each transaction.
How quickly can you close?
Funding in as little as two weeks if all parties are prepared. Quicker if title and valuation is submitted at the time the loan application is accepted.
Do you require insurance?
Yes. We require hazard fire insurance on each property that we lend on.
P.O. Box 161775, Austin, Texas 78716
The material on this web site covers a variety of topics on commercial real estate lending and note purchasing and is for informational purposes only. This information is inherently limited in scope, may change without notice, and does not contain all of the applicable terms, conditions, limitations and exclusions of the products and services described herein. This company makes no commitment to lend by accepting an application or no commitment to purchase a note by accepting information about that specific note or pool of notes. Any correspondence is confidential and may not be shared with other private money lenders, banking institutions, or note buyers without the prior written consent of consent of Rhardy Loans. Any commercial loan or purchase of an existing note or loan is subject to various terms and requirements not stated herein. The terms of any offer to lend or offer to purchase are subject to change in this companies absolute discretion. THIS IS A NON-BINDING SUBMISSION SHOULD YOU ELECT TO SUBMIT INFORMATION FOR OUR REVIEW. If you are a note broker or commercial mortgage broker you may submit commercial loans to us for consideration or consumer and commercial loans for purchase only. However, you are not an agent of our company and have no right to represent us.