Private Lending

What makes Direct the "soft" hard money lender"?

  • The credit worthiness of a borrower

  • Our relationship with the borrower

  • The LTV/ARV of a specific transaction

  • And depending on the circumstances, several other factors…


Top Ten Most Important Things To Consider When Choosing A Private Lender

1. What is the lender’s reputation?

We pride ourselves on our reputation and the longstanding relationships we have with our clients. The partners of Direct have a combined 45+ years in the real estate business in various capacities including brokerage, property management, investment, development, financing, and title.

2. Are you dealing directly with the decision makers.

At Direct, the owners take a very active role in the day-to-day operation. We service all of the loans and we make all of the decisions. The speed and fluidity of the transaction often depends on it. 

3. Is the lender actually in control of their own funds or are they acting on another’s behalf?

At Direct, there is no middleman. We are in total control of our own funds.

4. Will the lender provide you with a loan proposal so that you can see the full terms of the loan?

We provide a transparent loan proposal in writing and in advance to allow for questions prior to closing and to ensure that there are no surprises.

5. Are they consistent?

Watch out for inconsistencies from a potential lender. The Direct track record is proven, and because of this our customers come back again and again. 

6. Is there a prepayment penalty?

At Direct, there is no prepayment penalty.

7. Is there a back end fee?

Some lenders charge a fee up front and another fee upon payoff. At Direct, there is no back end fee.

8. What are the extra charges? Is there a fee for legal, document preparation, appraisal, etc…?

We do not charge any fee for legal, document preparation or appraisal. We charge a placement fee at the time of the loan. 

9. How is the interest on your loan calculated, especially during the construction period?

We calculate interest based on the funds outstanding at the time a payment is due. 

10. Is there an application fee?

At Direct, there is no fee to apply.