hard-money loan

hard-money loan definition - business

hard-money loan

A risky loan, usually short-term, that entails a very high rate of interest. Hard-money loans are generally secured by real estate and made to borrowers with poor credit records. For example, a person with a poor credit record obtains a hard-money loan for real estate development after being turned down by several financial institutions.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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