How it works

Make Contact

The first step to obtain a hard money loan is to contact Primary Source Lending.  Our website has several methods to reach us, including email, phone, text, application, or our messaging system.  We will respond to you regardless of the method you choose.  Ultimately, we will want to have a phone conversation to understand the intricacies of your specific situation.  We will need to know how much you are looking to borrow, the address of the property, the purpose for which you are borrowing, and the approximate value of the property.

Submit Initial Documentation

From our phone conversation we will identify initial documentation that we will need to see in order to determine the viability of the loan.  We may ask for things such as lease agreements, budgets to complete construction, copies of purchase contracts, appraisals, CMAs, etc.

Preliminary Loan Decision 

We strive to offer feedback after our initial review of the loan scenario as quickly as possible.  We have a small loan committee that determines if the loan is possible so our turnaround times are much faster than a conventional loan.  The more simple and straightforward the loan scenario, the faster we will be able to approve the loan.  We will tell you as quickly as possible if we are interested in the loan or if we are not.

Loan Application and Final Documentation

Once we have preliminarily approved the loan request we will ask for additional documentation to either prepare for closing or to complete our due diligence.  We may ask for tax returns, profit and loss statements, bank statements, evidence of hazard insurance, or further documentation about the property.  The additional documentation that we will need is primarily determined by the purpose for which you need the loan.  If the loan is a 1-4 unit property we will also need a full loan application.

Title Report

Once the loan has been approved we will order a title report from a title company.  The title company will research public records on the property to ensure that the loan can be placed on the property free of any encumbrances.  We work with many great title companies that are able to accurately, effectively, and quickly provide a preliminary title report so that the loan can close.

Site Visit

The last step that we will take before closing the loan is doing a personal on-site visit to the property.  We will want to meet you in person and have you show us the property.  This step accomplishes two things, we care very much about the people behind the loans and so we want to personally meet you and get to know you.  It also gives you an opportunity to meet us in person.  Second, it allows us to see the property and confirm the due diligence that had already been done.  In some instances we may want to perform the on-site visit earlier in the process.

Close Loan

Once we have the title report and have performed the on-site visit we will be ready to close the loan.  Generally, you will close the loan at the same title company that performed the title search work.  We also have access to title companies that offer online notary services if you are not able to physically get to the title company.  Once all of the closing documents have been gathered and the funds have been accumulated in escrow, the loan will fund and record.