Do Hard Money Loans Show Up On Credit Reports?

If you are new to real estate investments or are a beginner in the hard money loan world, then a question we get a lot is “do hard money loans show up on credit reports?”. We have been asked this question dozens of times by readers and decided to create a complete guide for those who are worried about a hard money loan impacting their credit score. If you are thinking about working with a hard money lender then it is important to have an understanding on how it might impact your credit.

hard money loans and credit reports

Do Hard Money Loans Show Up On Credit?

The majority of hard money loans will not show up on the borrower’s credit report. But it is important to understand that this isn’t always the case and it is a conversation you should have with your specific lender if you are concerned about it. Many borrowers who are new to private real estate loans or hard money loans will be concerned about their credit score as well as their credit report. But thankfully, for most hard money deals such as fix and flip loans and church loans, these won’t show up on your credit report. The loan will typically be appear on a background check and asset search which most hard money lenders will utilize during the application process.

It is possible that your specific loan deal structure will cause it to be on your credit report, but typically this won’t happen. From our years of experience in the hard money space, only a small percentage of loan deals will ever show up on the borrower’s credit report and shouldn’t impact your credit score. If you are having concerns we recommend reaching out to your hard money lender to ask them your specific questions. Your lender is there to see you succeed so they should be very willing to help you with any questions that you may have.

It is possible that lending regulations may change the landscape of loans and credit reports in the future as we have no way of knowing what will happen in the future. There is always a chance that specific loan types such as cannabis loans, or mobile home loans will have their regulation changed because of how new the industries are, but there aren’t any signs of this happening any time soon. The Hard Money Property and our network of hard money lenders are confident that the private real estate industry is in a stable position and we doubt any major changes will happen within the next 25 years.

For more information about our team you can learn about the types of loans we offer, or check out our blog section for more related content.

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