Southern California Commercial Lenders: Hard Money’s In
The Southern California commercial real estate market is improving. After the first quarter of 2014, the overall vacancy rent fell about a percent, and monthly rents pushed higher ever so slightly. This is a sign that there is increasing demand for commercial property in the Southern California region, begging the question, ‘How can real estate investors take advantage of the upward changing slope in Southern California commercial real estate?’
Commercial Hard Money Lending
Following the recent housing market crisis, many individuals seeking mortgage loans from conventional banks find it difficult to borrow. This could be that the recession gave way to many a tarnished credit scores, or that incomes have fallen due to fallen demand. Conversely, investors might find that this upward trend in commercial real estate demand puts added pressure on immediate settlement of lending arrangements to close the deal and get into the market as soon as possible. Either way, the common thread between owners/operators and investors find that commercial hard money provides them the opportunity to fill a niche market and fill it fast.
Southern California hosts some of the most desirable commercial property space in the country. The thriving consumer market in Southern California makes it a popular destination for companies to develop property and set up shop. Commercial lenders California offering commercial hard money loans bear a striking resemblance to residential hard money loans (in this sense, lending to those who are unable to obtain more traditional financing due to poor credit, income stream, or other environmental factors). On the other hand, other commercial hard money loans are made to those representing unique circumstances where underwriters are reluctant to provide loans. i.e. churches, retirement homes, x-rated establishments etc. These borrowers represent a unique niche for commercial hard money lenders.