Portland is the capital of Maine, and the county seat of Cumberland County. It has a population of just over 68,000 people, and is the biggest city in Maine. It is known for its reliance on the service industry and sector, and it is known for a nightlife district called the Old Port district. It is known for its waterfront property and fishing, and Marine industry plays a large role in Portland. It is the second largest seaport in New England, and Portland has a nickname as “The Forest City.” It is known for being a hub for artists and the creative economy.
According to Niche, Portland is one of the best places to live in Maine. It has a median home value of $302,700 and a median rent of $1204. It has a suburban urban mixed feel, and is a place where most residents rent their homes. Portland is home to many restaurants and bars, which give it a terrific night life, particularly in Old Port. Portland is also a place with lots of parks and green space. It is home to many young professionals and great public schools.
Right now, Portland is a seller’s market. That means it’s a housing bubble where demand is exceeding supply, and where real estate investors are getting into bidding wars over the best real estate in the city. Portland is a place where homes are selling really fast and for higher than listing price.
Hard money loans might be the best way to invest in real estate in Portland. These loans are mainly used for real estate transactions like fix and flips, long-term rentals, and construction projects. Their reputation is mainly that they’re used for buying homes in disrepair and then flipping them for a greater profit. Hard money loans give real estate a terrific advantage in a competitive seller’s market like Portland. While traditional mortgage loans can take. along time to be approved (more or less a month in a lot of cases), hard money loans can be approved in a couple of days. This fast speed of approval is money in a seller’s market because it can help investors put down fast bids for competitive properties.
The reason these loans can be approved so quickly is because they use a different asset than traditional mortgage loans. Hard money loans use the property as the asset. They don’t rely on the financial standing of the borrower as much as traditional mortgage loans. Credit still matters since most hard money lenders have minimum credit scores of 600 to 620, and a good credit score helps hard money lenders get better interest rates. But since hard money lenders use the property as collateral, if a borrower defaults on a hard money loan, the lender becomes the homeowner in a very expedient process. The lender then tries to flip the home themselves to make money.
Because of this, hard money loans also have lots of disadvantages. They come with higher interest rates, lower LTV ratios, and shorter repayment periods than traditional mortgage loans. Interest rates in this housing market are very high right now — about 5.6% on average for a 30 year mortgage. This is significantly lower, still, than the 8–15% interest rate for a hard money loan. They also need to be repaid in a year in most cases.
To get the best terms and rates in Portland, you need to trust the best hard money lenders. That’s why we at Hard Money Lenders IO have made a list of the best lenders in Portland.