Murfreesboro is the county seat of Rutherord County, and it has a population of just under 153,000 people. It is a city in the Nashville metropolitan area, and is only 34 miles southeast of Nashville. It is the largest suburb in the Nashville area, and is the geographic center of Tennessee. Murfreesboro is the fastest growing major city in Tennessee and in the country. As the home of Middle Tennessee State University, Murfreesboro is the home to the biggest university in the state and is hence a great college town.
According to Niche, Murfreesboro is one of the best places to live in Rutherford County. It gives residents a dense suburban feel and is a place where most people own their homes. There are many parks in Murfreesboro, and it’s home to many families and young professionals. Murfreesboro has a median home value of $238,000 and a median rent of $1052.
Right now, Murfreesboro is a seller’s market. It’s a place where demand is rapidly outpacing supply, and where real estate investors are getting into bidding wars over the best real estate in the state. Murfreesboro is a housing bubble like the rest of the country during the pandemic.
Hard money loans might be the best way to invest in real estate in Murfreesboro. Hard money loans are also known as short-term bridge loans and last resort laons, and their biggest advantage in a seller’s market like Murfreesboro is they can be approved very quickly. Hard money loans can be approved in a couple days, whereas traidiotnal mortgage loans can take a month or more to be approved. This fast speed of approval is an incredible advantage to investors since it gives them access to fast financing and bids.
Hard money loans can be approved so quickly because they’re based on the property, not the credit score of the borrower. Hard money loans might rely on credit scores to lower interest rates, and most hard money lenders have minimum credit score requirements. But the majority of hard money lenders base their terms and rates on the after repair value of the property. Hard money loans usually use the property as collateral — if a real estate investor defaults on a mortgage, the bank forecloses on the property. If a borrower defaults on a hard money loan, the lender owns the property and has to flip it to make a profit.
This makes hard money loans incredibly risky as a result. Hard money loans have higher interest rates, shorter repayment periods, and lower LTV ratios than traditional mortgage loans. Hard money loans have interest rates of 8–15%, which are significantly higher than the interest of mortgages. They also have repayments periods of more or less a year, which is significantly shorter than 30 year mortgages. Lastly, hard money loans have lower LTV ratios, which means real estate investors need to put down higher down payments. Since hard money loans are so unforgiving, it can be very difficult to pay off a hard money loan if an investment does not pay off.
It’s important to only trust the best hard money lenders to get the best terms and rates on your hard money loan. Some hard money lenders have reputations as loan sharks. That’s why we at Hard Money Lenders IO have made a list of the best hard money lenders in Murfreesboro.