Hard money · Grand Rapids

Hard Money Loans in Grand Rapids, MI

Loan-size math and qualifying analysis for Hard money financing on Grand Rapids's $310k median home value. Strong fit.

Recommendation

Strong fit for Grand Rapids.

Grand Rapids has active flip + wholesale activity (flip fit 100/100, wholesale fit 92/100) — hard-money makes sense for the velocity these strategies require.

Loan math · Grand Rapids

Payment on Grand Rapids's $310k median.

Median home value (Grand Rapids)$309,801
Assumed LTV85%
Loan amount$263,331
Cash to close (down payment)$46,470
Assumed rate11.00%
Term6-18 mo, interest-only
Monthly P&I$2,414/mo
What it is

Hard money financing — the mechanics.

Short-term (6-18 month) loans underwritten primarily on the property's after-repair value and the borrower's flip/project experience. Interest-only payments during the term; balloon at maturity (paid off by sale or refinance).

Lender requires: 600+ FICO typical (some go lower), 10-20% cash to close, proof of reserves equal to 6 months of carry, project plan + scope of work. Funding in 7-14 days standard.

State context · Michigan

How Michigan law affects this loan.

Michigan foreclosure timeline: non-judicial, ~6 months redemption period. See full Hard money in Michigan breakdown.

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FAQ

Frequently asked.

What's the typical Hard money loan size for a property in Grand Rapids?

On Grand Rapids's $310k median home value, a Hard money loan at the standard 85% LTV would be approximately $263k, requiring $46k down.

What's the monthly payment on a typical Hard money loan in Grand Rapids?

Interest-only payment on a $263k Hard money loan at the typical rate of 11.00% would be approximately $2k/month, excluding taxes and insurance.

Is Grand Rapids a good market for Hard money financing?

Grand Rapids has active flip + wholesale activity (flip fit 100/100, wholesale fit 92/100) — hard-money makes sense for the velocity these strategies require.

What credit and reserves do Hard money lenders require for Grand Rapids properties?

Lender requires: 600+ FICO typical (some go lower), 10-20% cash to close, proof of reserves equal to 6 months of carry, project plan + scope of work. Funding in 7-14 days standard.

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