About Hard Money Loans For Commercial Real Estate

A commercial hard money loan is a private money loan that does not rely on traditional bank financing.

Hard money loans are usually short-term and offer needed capital for commercial real estate projects. Such loans can be helpful for property acquisitions and refinancing, projects that are in progress or halted due to a shortage of cash, or for commercial properties in need of improvement.

Commercial hard money loans are secured by the equity in the property itself, making them different from traditional bank loans that rely on different loan qualifications.

The biggest advantage of a hard money loan is that the approval process and disbursement process are much faster than loans offered by banks and traditional lenders. This allows the borrower to access capital more quickly than with traditional commercial loans for situations in which there is a need to keep a project going or bridge a gap in financing.

The main reason the process can move so quickly is that the financing for commercial hard money loans is secured by the property itself and only requires minimal documentation by a private money lender.

Since hard money loans are secured by the actual property, these loans can be approved quickly, even if the borrower's credit history isn't spotless. As a hard money lender, we don't rely on strict credit checks so even if you have a low FICO score, this won't affect or delay your ability to access money quickly.

Traditional loans are often "one size fits all" when it comes to setting the term length and any associated fees. We take your circumstances into account when it comes to setting loan terms. As private lenders, we have the flexibility to structure a hard money loan that meets your individual needs.

Since hard money loans are intended to be short-term and close quickly, the interest rates are higher. The repayment period is shorter as well since these loans are not intended for long-term financing.

We are direct commercial hard money lenders, we can close on the loan quickly without an outside underwriting process. Our quick, streamlined approval process is ideal for borrowers who need to act quickly.

For acquisitions or refinancing of a commercial property, our hard money loans can offer short-term access to cash so you can move quickly to get started while you search for long-term financing.

Unanticipated costs or delays can cause a financial gap in your project. Our commercial hard money loans can offer quick financing for projects stalled due to lack of capital, so you can get your project going again with a minimal loss of time.

If you have tried to gain financing through a traditional bank loan and it falls through at the last minute, Spectra can step in and act quickly as a private lender.

Property improvements for multi-family housing can improve equity and return on your investment. By offering short-term financing, you can achieve this more quickly with a hard money loan than with traditional bank financing which can take up to 2-3 months.

If your project faces unique circumstances, we can offer a hard money loan to help you bridge temporary gaps in financing so that your project doesn't have to be delayed or halted.

As direct private lenders, we look at each application for a commercial loan ourselves to understand your unique needs when it comes to financing commercial projects. We don't rely on conventional formulas, credit scores, or other methods used by traditional financing, we personally look at your circumstances and can adapt a solution to your situation.

When you don't have the time for an extended application and approval process and need to raise capital quickly, a hard money loan may be your best solution.