StreetSmart Properties is a Atlanta based “Hard Money” lender.  Hard Money loans are also referred to as “Private Money Lending”. Their terms are shorter (from 3 to 12 months) with higher interest rates and points. These are fast cash, non-conventional or private financing with private funds.

• The collateral (real estate property’s value) is more important to these lenders than the borrower’s qualifications.  We based the entire loan decision on the property and its value in comparison to the loan amounts.
• Private money lenders have a greater flexibility as to what types of loans and the loan’s criteria.
• Private money loans can be processed quicker due to the lack of income verifications, property appraisals and lack of required underwriting standards.  Often just one person is required to approve the loan.  StreetSmart Properties are able to approve loans in a one to two day period and are capable of closing deals in five business days.
• Hard money loans tend to be more expensive than the conventional, bank loans.  StreetSmart Properties charge five points (or percent) to close.
• The terms of the loans are shorter ranging from six months to two years. These loans are short-term real estate secured loans that investors utilize to purchase and flip or rehabilitate the property. StreetSmart Properties offer six month term loans.
• Private money can be used by investors who buy houses, fix them up and sell or refinance them.  StreetSmart Properties does loan money to purchase and if desired to rehabilitate the property.
• Interest rates vary from 13.75% to 16%.  Loan Origination Fees are from three to ten points of the loan value.  Closing costs and closing expenses depend on the lender and their loan requirements. StreetSmart Properties loans at fifteen (15) percent annual interest rate.  We charge five (5) points (or percent) as an origination fee and a $350 administration fee to close.  These are the only fees we charge throughout the loan.
• Most private money lenders prefer to lend on single-family dwellings, but some will lend on apartment buildings, new construction and commercial buildings at different rates and terms. StreetSmart Properties loans are usually single-family dwellings or duplexes, but we do consider commercial and multi-family dwellings.
• Most hard money loans are based on the value and equity in the real estate property asset and not the borrower and therefore can be approved and funded quickly. Their risk is anchored to the property and not the person.  StreetSmart Properties base their loans entirely on the property and therefore once the verification of the title has been obtained we are able to close the loan.  This process can take two to seven business days.

Most private money lenders have a complete understanding of the real estate market and feel comfortable with the risk involved by securing their loans with the property. StreetSmart Properties has been lending money on metro Atlanta property for over five years.  We have been unofficially in the real estate market for close to twenty years.