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WHAT IS A SOFT MONEY LOAN?

If you are a real estate entrepreneur looking to borrow for an investment property, a direct private money lender, like Stratton Equities is the perfect solution for you.

We provide asset-based soft money loan programs that utilize long term financing (12month - 30 years), lower rates, and lower cost.

The combination of lower rates, lower cost, credit building, and a longer time frame makes the soft money loan a better fit than a hard money loan for many prospective borrower’s situations, particularly those interested in investing in a commercial or a more long-term property. 

 

The Benefits of a Soft Money Loan

A soft money loan is defined as a long-term (12 months - 30 years) real estate investment loan program that closes faster (2-3 weeks) than a conventional loan. 

This type of loan program requires more underwriting than a hard money loan, allowing it to have lower rates and greater security. It is based on both the borrower’s credit score and the property’s LTV, and is usually a term loan rather than a bridge loan. 

An innovative approach combining the benefits of hard money loans that have lower risks, higher rates, and a short term loan time-frame - contrastingly, soft money loans fit many borrowers far better due to the program's lower costs, lower rates, and longer terms (12 months - 30 years).

Only a select few private money lenders work with Soft Money Loans, however at Stratton Equities we are constantly growing our library of mortgage loan programs to provide the best solutions for Nationwide Real Estate Investors.

What makes a soft money loan groundbreaking in the mortgage world, is that a borrower can also build or repair their credit with a soft money loan, making it appealing to those with lower credit scores or those looking to rebuild their credit. 

Soft Money Loans can also be a valuable tool for purchase or refinance of office buildings, retail properties, 1-4 rental units, and multifamily housing including apartment complexes. 

Is Soft Money the new Hard Money?

Calling soft money ‘the new hard money’ may seem trite and contrived, but upon further reflection, soft money truly is the direction for the future of lending. 

Why Should You Use a Soft Money Loan?

  • Long-Term Financing : This type of loan has long-term financing (12 months - 30 years) for real estate investors, who prefer to finance the purchase and/or rehab of their investment property.

  • Fast Funding: With conventional loans, there are qualifications that restrict you from getting access to those funds. With a Soft Money Loan program there is more underwriting than a hard money loan, allowing it to have lower rates, greater security, and fast funding.

  • For Your Real Estate Investment Needs: A Soft Money Loan is the perfect solution for any real estate investor, first time borrowers to seasoned real estate entrepreneurs.

  • All Property Types: At Stratton Equities our Soft Money Loans are customized to your real estate investment needs. 

SOFT MONEY Loan Summary

  • Rates Starting at 4.375%

  • $100K – $5M

  • Up to 85% LTV

  • Blanket Loan Options Available

  • Single-Family, Condos, Townhomes, Multi-Family, Commercial, Mixed Use, Office, Retail, Industrial, Warehouse

  • Fixed rates/Adjustable

  • 5, 7, 30 Year Fixed 

  • Interest Only Option Available

  • Foreign Nationals Eligible

  • No Prepayment Penalty Option Available

Ready to Finance Your Investment Properties?

Apply now. Our originations team is ready to work on your loan.