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Hard Money vs Private Money Rehab Loans

When looking at hard money vs private money rehab loans, it's most important to note that, as a private lender, Rehab Financial deals with people who have credit, which means that they should have no trouble getting out of the loan from their bank when the rehab is finished.

Private lenders can be more flexible and more creative in how we structure loans, how we price loans, and the relationship we have with the borrower.

When you're dealing with a hard money lender, they're really looking at the underlying asset - the house - which is their collateral. They don't necessarily care if you can pay the loan back or not. They are going to give you less money towards your project, and they're neutral as to whether you pay them back or whether you default. If the house goes into foreclosure and the hard money lender sells it, they make more money because they're only looking at the asset.

In contrast, private money lenders like Rehab Financial Group don't want your property. We want to be paid back, but we also want to structure the loan in the best way possible so that you can make a profit.

Learn more about private money vs hard money loans and financing your real estate investment here!

View more information on private and hard money lenders in Philadelphia. 

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