Who are the Best Hard Money Lenders in Detroit MI in 2023?
Finding the best hard money lenders Detroit is very important to your real estate profit. Whether you’re looking for a fix and flip loan or a BRRRR strategy, a bad hard money loan can set you back thousands of dollars.. An unfavorable hard money loan can cost you thousands and thousands of dollars. On the flip side, a good hard money loan can provide the financing you need to make a deal possible and profitable. Detroit private money lenders can give you the buying power you need to secure your deal.
Respectable looking hard money lenders in Detroit were tough to come by. The Google My Business results are littered with spammy and incomplete profiles. We’ve compiled a small list of lenders we feel confident in. There aren’t many, but we think you can rely on these lenders.
Loan amounts average around $250k. Rates on loans made to Detroit real estate investors average 10-12%. Most hard money loans averagebetween 6-12 months. The average note includes a 2-4 point origination fee and the LTV offered for loans in Detroit is between 70-75%.
Here’s our short list of the top 3 Best Hard Money Lenders in Detroit:
- Invest Detroit
- Bloomfield Capital
- Hard Money Global
Top 3 Best Hard Money Lenders Detroit MI
1. Invest Detroit
Invest Detroit is not your typical hard money lender, but they serve the community in a multitude of ways, including real estate lending.
Invest Detroit was created to bring partnerships and philanthropic resources together to support real estate and business projects that struggle to find traditional financing. They’ve partnered on many projects throughout the city.
They do require some experience but their terms are very good.
Here’s more info about their loans:
- Terms are specific to each loan product
- Acquisition, predevelopment, and bridge loans
range from 1 to 3 years. - Construction and term loans range from 6 months
to 7 years. - Rates from 6-8%
- Origination fees in the 1-3% range
2. Bloomfield Capital
Our next Detroit hard money lender is Bloomfield Capital. With a focus on commercial bridge loan opportunities between $2 million and $20 million, Bloomfield capital is a larger loan size lender. They specislize in real estate loans for asset types including multi-family, office, hospitality, and other commercial properties. They can close quickly and have terms typically in the 12-24 month range.
Here is more about their loan program:
- Up to 80% LTV
- 2-6% origination
- Rates starting at 8%
#3. Hard Money Global
Hard Money Global is another Detroit area hard money lender. They don’t have the most professional of websites, but their reviews are excellent. From their site:
We provide Asset Based Loans and creative funding solutions for Home Owners and Investors who can not obtain mainstream funding due to Bad and less than perfect Credit. OurMission is to help Metro-Detroiter’s achieve “The American Dream” of Home Ownership”.
Here’s more about their fix and flip program:
- Funding up to 90% Purchase
- Funding up to 100% Rehab Cost
- Term: 12-months
- Fico: No Minimum
Best Hard Money Loans Detroit FAQ
Who is the best hard money lender in Detroit?
Here’s our short list of the top 3 Best Hard Money Lenders in Detroit:
- Invest Detroit
- Bloomfield Capital
- Hard Money Global
What do Detroit hard money lenders charge?
Hard money loan rates in Detroit range from 10 percent to 12 percent for most fix and flip and shorter term loans. Many hard money lenders in Detroit also charge points or origination fees on a loan that range from 2-4 percent.
Do Hard Money Lenders in Detroit require appraisals?
With most hard money lenders in Detroit, the loan to value (LTV) is determined through an appraisal or a broker opinion of value.
What is hard money in Detroit?
Hard money loans in Detroit are loans secured by real estate used to purchase or rehab that piece of property.
These short term loans are used to purchase and/or rehab residential or commercial properties. They’re usually more expensive than traditional loans but can be closed faster and oftentimes with less credit requirements.
