Hard Money Loans – A Guide

A common reason why many people shy away from taking loans is the idea of gaining money only to lose it again in the long run. The concern while not completely true, does hold validity as it involves credit. Because of this, many people are relying on hard money loans instead, which allow them to deal with other means.

Here, private lenders are the best option as they allow more room to their clients, instead of banks that continue with fairly strict policies. Here’s what you need to know about hard money loans:

Hard Money Loans Explained

Rather than deal with credit as is the norm, hard money loans involve collateral, usually in the form of something valuable such as property, blanket liens and inventory financing options. The collateral can be considered a contingency plan for the lender, who will gain ownership of it in case the lender is unable to pay off the loan properly or falls short in any of the discussed terms and conditions.

Hard money loans are generally recourse loans, but some lenders may operate differently, offering non-recourse options.

Why People Prefer Hard Money Loans

Faster Acquisition

Hard money loans are commonly sought after by those with powerful collateral options and those looking to acquire quick loans. Most loan options involve a substantial amount of paperwork to even initiate, with income and bank statement reviews.

Once you’ve presented the collateral and the lender does some sleuthing of their own to validate your claims, the procedure is fairly straightforward from there.


While most loans have a generic underwriting process, hard money loans are most customizable. They allow you to customize various terms and conditions. Ideally, you can set up a deal that works for you and shift around payment schedules and other factors to work in your favor, while still being feasible for both parties.

They’re similar to bridging loans in terms of flexibility.

K. N Horton Financials are non-recourse loan providers, working with major stock exchanges across the world, acting as a hard money and stock loan lender in Philippines, Malaysia, Singapore, New Zealand, Indonesia, Australia, South Africa and Japan among others.

You can acquire high net worth stock loans for yacht financing, private jet loans with their help. Reach out to them today to learn more about their services.

Categories: Finance,Financial services

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