Why Choose Us
This guide covers why choose us at Lending Network, LLC versus other commercial lenders. Lending Network, LLC has a national reputation for being able to do business, residential, and commercial loans other lenders cannot do.
Lending Network, LLC is able to do commercial and business loans in 50 states, including Washington, DC, Puerto Rico, and the U.S. Virgin Islands. Not too many hard money lenders can lend in all 50 states.
Lending Network, LLC has a national reputation as a one-stop lending shop. Our clients at Lending Network, LLC include hard money lenders, residential loan officers, bankers, credit unions, real estate developers, agents, attorneys, accountants, and commercial loan officers. Not all commercial loan officers can do the types of commercial loans Lending Network can do.
Why Choose Us at Lending Network, LLC
Lending Network, LLC is the nation’s largest one-stop lending shop. The Lending Network, LLC team can do residential, business, consumer, and commercial loans. We have specialized loan programs such as business loans, equipment financing, factoring, SBA loans, hard money loans, business lines of credit, ground-up new construction loans, spec home construction loans, gas stations, hotels, medical facilities, nursing homes, and developer construction loans.
There is not consumer, business, residential or commercial loan Lending Network cannot do. If there is a residential or commercial loan program in the marketplace, you can be rest assured Lending Network, LLC has the loan program at the best rate and term.
Types of Commercial Loans Options
Why choose us at Lending Network, LLC? Lending Network differs from other commercial lenders because we cover 31 commercial and business loan programs. Most lenders of commercial loans are specialist and niche lenders. For example, a commercial lender may specialize in hard money loans.
The lender of hard money loans may be unable to originate SBA or equipment financing loans. Other lenders may only do apartment-building loans and steer away from shopping malls or office-building commercial loans. Yet other lenders may only do construction loans.
The reason why choose us at Lending Network is that Lending Network is a one-stop lending shop where we lend on all types of commercial and business loan programs. Hard money loans, equipment financing, hotels, gas stations, shopping centers, new construction, ground-up fix and flip loans, office complexes, apartment buildings and complexes, spec builder new construction loans, nursing and medical facilities, storage facilities, warehouse loans, SBA loans, and church loans are just a few types of commercial and business loan programs Lending Network can do.
Why Choose Us For Hard Money Loans
One of the reasons investors choose us at Lending Network is because we can do loans other lenders cannot do. Most lenders and investors of hard money loans can lend in just a handful of states. Lending Network can do business and loan hard money in all 50 states. We have dozens of hard money lenders and investors as clients.
We lend hard money loans to hard money lenders who cannot lend in states outside their wheelhouse. Most hard money lenders will only lend up to 50% to 60% loan-to-value.
Why choose us over the competition? Lending Network, LLC can lend up to 70% to 75% on hard money loans, which is unheard of in the hard money lending world. Lending Network, LLC is the premier hard money lender in the nation, with no other lender who comes close.
Why Choose Us For Traditional and Hard Money Loans
Traditional and hard money commercial loans are two distinct financing options for businesses and real estate ventures. They have different characteristics, eligibility criteria, and terms. Let’s explore the differences between the two:
Traditional Commercial Loans
Banks, credit unions, and other conventional financial institutions offer traditional commercial loans. They have typically secured loans and involve a thorough underwriting process. Here are some key features of traditional commercial loans:
Eligibility Criteria on Traditional Loans
Traditional lenders typically have strict eligibility criteria. They require borrowers to have a strong credit history, a solid business plan, and a demonstrated ability to repay the loan.
Loan Amount on Traditional Loans
The loan amount can vary widely based on factors such as the borrower’s creditworthiness, the nature of the business, and the collateral offered.
Interest Rates on Traditional Loans
Traditional commercial loans often come with lower interest rates than hard money loans. The rates are usually fixed or variable and are based on the prevailing market rates and the borrower’s creditworthiness.
Loan Term of Traditional Loans
Loan terms for traditional commercial loans are usually longer, ranging from several years to decades. Most loan terms on traditional loans are amortized over 25 years but balloon in three, five, seven, or ten years.
Collateral on Traditional Loans
Traditional lenders may require significant collateral to secure the loan. Collateral can include real estate, equipment, or other valuable assets the borrower owns. For borrowers with no collateral, a larger down payment will be required.
Application Process of Traditional Loans
The application process for traditional commercial loans is more detailed and may involve providing extensive financial documentation, business plans, and other relevant information. The traditional loan process is longer than hard money loans.
Hard Money Commercial Loans
Private lenders or investor groups typically offer hard money commercial loans. These loans are often used when borrowers cannot secure financing through traditional means due to factors such as credit issues or the need for quick funding. Here are some key features of hard money commercial loans:
Eligibility Criteria of Hard Money Commercial Loans
Hard money lenders are more focused on the value of the collateral rather than the borrower’s credit history. As a result, borrowers with lower credit scores or unconventional businesses may still qualify.
Loan Amount on Hard Money Commercial Loans
Hard money loans tend to be shorter-term loans with higher interest rates. Loan amounts are usually based on a percentage of the collateral’s value.
Interest Rates on Hard Money Loans
Hard money loans come with higher interest rates compared to traditional loans. This is due to the increased risk associated with these loans and the quicker funding process they offer.
Many borrowers are willing to pay high interest rates on hard money loans due to the streamlined easy and quick process to close.
Most real estate developers with great credit and high credit scores prefer hard money loans versus traditional loans due to no income docs and fast closings. For borrowers of commercial loans, time is money, and sometimes it is better to pay the higher cost of hard money loans to speed up the closing and availability of funds on a commercial project.
Loan Term of Hard Money Loans
Hard money loans typically have shorter loan terms, ranging from a few months to a few years. Most of Lending Network, LLC’s loan term is 12 months. If borrowers need to extend the loan term over 12 months, they can extend it for another 12 months after the initial term expires.
Collateral Required on Hard Money Loans
The collateral’s value is of paramount importance to hard money lenders. They may provide loans secured by real estate, equipment, or other valuable assets.
Application Process on Hard Money Loans
The application process for hard money loans is generally quicker and involves less stringent documentation. Lenders focus more on the collateral’s value and the borrower’s equity stake. Why choose us for hard money loans? Lending Network normally require a 25% to 30% down payment on hard money loans where the competition require 50% to 60%:
Most hard money lenders do not care about income docs, documentation, credit scores, or debt-to-income ratio.
No DSCR is required on hard money loans. Why choose us at Lending Network, LLC for hard money loans? We can close hard money loan transactions in a matter of days. Some hard money loans can close in one day. Hard money loans close substantially sooner than traditional loans.
Why Choose Us at Lending Network: One-Stop Lending Shop
In summary, the choice between a traditional commercial loan and a hard money commercial loan depends on factors such as the borrower’s credit history, the urgency of funding, the nature of the business, and the availability of collateral.
Traditional loans offer lower interest rates but have stricter eligibility criteria, while hard money loans provide faster funding with higher interest rates and a focus on collateral value.
Many real estate investors and business owners prefer hard money loans due to less red tape and fast closing. Hard money loans are not just for borrowers with bad credit. Many 800 credit score borrowers use hard money loans due to the fast closing and easy loan process.
