How Hard Money Lenders Decide the Amount of Loan to Sanction?

Mavericklewis23 Oct, 2024Finance

Hard money loans have gained popularity for their flexibility, quick approval processes, and suitability for real estate investments or other urgent financial needs. Unlike traditional loans, hard money loans are based on the value of the property being used as collateral rather than the borrower’s creditworthiness. However, determining the amount of loan a lender is willing to sanction involves various factors beyond just property value. Here’s a look at the key criteria that hard money lenders in Los Angeles County use to decide how much they’ll lend.