You’ve probably heard of hard money lending before.
You might be wondering if this is a good way to put your money to work. In this article we detail the basics of Hard Money Lending As An Investment. The pros and cons of hard money lending as an investment are thoroughly explained so you can make a decision for yourself.
This type of investment is built around the syndication, or crowdfunding of a loan provided to an investor or person looking to purchase real estate. As payments are made on the loan balance with interest, Supervest users will also see a return on their investment.
Access to immediate capital is an essential part of doing business as a real estate investor. Many investors often at times don’t have the time to wait for a traditional mortgage payment. When that investor is in need of capital, Supervest would be able to provide this type of loan to the investor.
Investing In Hard Money Lending
By taking part in hard money lending accredited investors are now able to access a new asset class and passive stream of income.
Up until recently, investing in hard money lending was inaccessible to most investors. Hard money loans were previously only offered by wealthy individuals, institutional buyers, and hedge
funds. Supervest provides a hands off opportunity to participate in this form of lending.
Cons of Investing in Hard Money Lending
All investments come with some form of risk, for example some investors might default on the loan, and in some cases it may leave the property selling for less than the projected rate in
order to make a return (AKA “Short sale”)
Pros: The Upside of Investing in Hard Money Lending.
An alternative investment such as hard money lending is great because you are indirectly participating in the purchase of real estate. This provides a little more security to the investor
(Please note that all investments are subject to some risk). Also, due to the average lifespan of a hard money loan being shorter than a traditional loan, Supervest users can see a return on their investment much quicker than a traditional mortgage might provide.
Investment Platforms For Hard Money Lending
Technology and more easily accessible information is changing the platform in which investments are being made. Platforms for alternative investing are opening up new methods of investing that were previously extremely privately held.
Not only is accessibility increasing, but the cost is decreasing. These platforms are decreasing the minimum amount of investments, which can be more practical for some investors.
Platforms like Supervest are connecting investors to hard money lending opportunities.
Unlike previous forms, this platform mitigates risk extensively. Our background checks and inspections provide a thorough look into the property we are providing the hard money loan for.
At Supervest, Matches are highly personalized according to risk tolerance and specific preferences with things such as loan term lengths. Professionals take it all into consideration to find the best fit funder and business for the investor.
To become a Supervest user, you do have to be an accredited investor to sign up for crowdfunding opportunities. All you have to do is fill out a basic application, then complete a risk
assessment, receive a background check , determine how much of your investment you want to allocate to credit card acquisitions, and then receive the return in just a few days.
Additionally, Supervest offers 24 hour transparency with your funds, and funding can be removed at any time. Credit Card Acquisition has never been more easy, less risky, or as straightforward as it is now with Supervest’s platform.