Short Term Portfolio Lending
Short term portfolio lending and hard money lending are terms use to describe private money lending practices that are asset-based, meaning that the borrower receives their funds secured by real property, not by the credit standing of the borrower. These loans are typically “short term” in that they range from one day to six months in duration, although some lenders do offer longer term loans. Another characteristic of these types of loans is that lenders offer their own funds and with this typically come higher interest rates.
This mini-course is divided into two segments. In the first, GREEN President Mark LePera and resident GREEN mortgage expert Larry Cox welcome Neal Lampley to the GREEN studios to discuss his work as a short term portfolio lender.
Neal is a loan originator with Republic State Mortgage in Brentwood, Tennessee. In addition, he is a principal at Meridian Capital Group, also in Brentwood. Meridian Capital Group specializes in commercial purpose financing targeted to real estate professionals. Meridian’s platform allows for shorter turnaround time and more flexible underwriting than traditional lending sources. Types of transactions include short-term acquisition financing and renovation/repositioning for distressed property.
Educationally, Lampley has a Bachelor of Business Administration (1992) and an MBA, both from Belmont University.
Together Larry and Mark interact with Neal as he describes the ways that short term portfolio lending can assist a real estate professional in their investment career.
In the second segment, GREEN Director of Technology Marcus Guillory slides into Mark’s chair and asks Neal a series of questions intended to flesh out the how an investor might utilize a short term portfolio lender and to seek advice for the beginning real estate investor.