A short term loan is a type of interim financing for an individual or business until permanent financing is made. Short term property loans may be appropriate for businesses that are subject to significant unexpected and unavoidable expense, such as a home repair or a car repair.
Short term loan concerning the property is often used for commercial real estate purchase to close on a property, retrieve real estate from foreclosure or take advantage of a short-term opportunity in other to secure a long-term financing. Basic Finance offers a full range of loan products with the two main options for short term loan are bridging loan and standard secured loan.
A bridging loan is more specifically a short-term property secured loan similar to an interest only in the mortgage. This short-term property loan is taken out with the understanding that monthly payments consist of interest only. The length of the loan ranges from a couple of months to years, depending on the agreement, usually 1-18 months, with the loan repayable in full at the end of the duration. Unlike other forms of acquiring the monthly interest is often rolled into the loan, meaning there are no repayments to make during the time of the loan. Lending of properties can often be based on the full value of the property, that is, it’s possible to acquire property without a deposit, but you have to have the assets to repay the loan.
A Standard secured property loan is a short-term property loan that takes a more extended period for the repayment period, usually three years or more. A Standard secured loan monthly payment applies to both interest and principal. It is preferable because it gives room to borrow more.
How to Go About a Short-Term Property Loan
A Short-term property loan is typically a loan that is scheduled for repayment within one year. Short term property loan works like every other loan (medium and long) but within a short-term repayment period. For a short-term property loan to be assessed, it depends on the value and type of assets owned by the individual. Only very few individuals have enough savings to purchase a property out rightly, then short-term property loan will be considered. The shorter the loan repayment period, the lower the interest that will be charged in most cases. If the loan is not paid out on time, the penalty interest rate would be incurred by the borrower.
Why Our Short-Term Property Loan is The Best
At Basic Finance, we are committed to adding value to businesses and companies by providing short term property loans to businesses and companies with less hassle and affordable interest rate. We also make sure that every application made for a short-term property loan is well scrutinized, and immediately we verify documents tendered, we do not take time in disbursing funds requested.
You can find out more about loan services offered by Basic Finance by visiting our page. Our customer care regime is well developed and reachable 24 hours a day.