By Robert Greenberg
Chief marketing officer
Patch of Land
Illustration by Dennis Wunsch
Hard money, traditional mortgages and crowdfunding
offer different choices for real estate investors
Real estate investors have more options for financing than ever before. Although most
fix-and-flippers use cash to purchase and renovate their investment properties, many
use conventional mortgages and hard money loans. Some investors have even turned
to a new form of lending that has emerged over the past five years — crowdfunding —
which is gaining traction in the residential real estate investment space.
Mortgage originators who want to capture a portion of this residential investment
market should search high and low to learn all they can about the various loan
products and platforms investors use. Armed with an understanding of the benefits
and drawbacks associated with hard money loans, traditional mortgages and
crowdfunding, originators can better advise their investor clients.