Living and working in Palm Beach Gardens, Florida I not only am a Mortgage Broker for residential home loans but I have carved out a specialty of Hard Equity also known and Private Money for both Residential and Commercial Loans. When people think of Hard Equity / Private Money I find that most people think of Tony Soprano that you will pay or you will go for a swim with cement shoes. This might have been true back in the day but those days are far behind us. These companies and also individuals look at each deal with a common sense approach.

• How Much is the Property Worth?
• Does the Client have the ability to Re-Pay the Loan? (Yes for the most part they want your money not the property)
• These loans are for the most part No-Doc loans
• If they have to foreclose will the be an equity situation?

With these types of loans it is not so much on what fee's are but thinking outside of the box. For example:

This is a file that I just closed. Client of mine has a commercial property valued at over $1,000,000 and owns it free and clear. Unfortunately, the client hit some speed bumps in their personal life and is running short on cash. (We have all had speed bumps in our lives) Most if not all Hard Equity or Private money investors will only accept an appraisal from their preferred appraisers. So if shopping multiple investors most likely you the client would have to pay multiple appraisals. This is why it is important to know your Mortgage Professional a head of time. When ordering a commercial appraisal the fee's are not the same as a residential. In this case the property appraiser wanted between $3,500 to $4,000 and can take up to a month to get back. (This is very common on a commercial property) When ordering an appraisal these are paid COD. Lets face facts, if the person or persons is tight on cash, they will not be able to do this. This is where thinking outside of the box comes in. The investor that I have offered a quick closing for much less money than what the client was looking for. However, this way the client will have the cash to order an appraisal and the loan that my client will receive will be able to be modified once the appraisal comes back to more of the amount on what they are looking for. In addition, My client will only have to close one time.

If you find yourself in the need of one of these types of loans make sure you ask the following questions of your mortgage professional:

• Do they have both private money from investors and more traditional hard equity lenders
• How many years of experience do they have originating these type of loans
• Are they licensed (In Florida to broker a commercial deal you DO NOT have to be licensed)
• Lastly, Go with your Gut! If you think this person is slimy (see previous about not being licensed) run for the hills.

For More FREE Mortgage Advice: Mortgage Advice in South Florida or MyFavoriteMortgage.net