If you are new to this term, a hard money lender, also known as a private lender, is an individual or non-institutional (non-bank) company that provides loans to real estate investors (borrowers) for the purchase or construction of properties. The term "hard money" is used because the lender places more emphasis on "hard" assets (real estate) when evaluating a transaction against the borrower's ability to pay, as indicated by his income or credit score. The hard money loans for real estate are generally guaranteed by a note and an act of confidence. What is a hard money loan? The loans available from a hard money lender are called hard money loans, private money loans, rehabilitation loans or bridging loans. The borrower's goal is usually to buy, repair and return or, in the case of new construction, build and sell the property. In both cases, time is critical. The borrowers wish to complete the project as quickly as possible to be