About Investor Loan Exit Strategies
Repayment and exit planning.
Repayment & Exit Planning
What Is an Exit Strategy for a Hard Money Loan?+
An exit strategy is the plan for repaying a hard money loan before it matures, most commonly by selling the property, refinancing into long-term financing, or using proceeds from another asset sale. Brighton Asset Management evaluates every borrower's proposed exit strategy as part of underwriting.
What Happens When My Loan Matures?+
The outstanding principal, accrued interest, and any other amounts due must be repaid according to the loan documents. If circumstances change, Brighton Asset Management encourages borrowers to communicate early to discuss potential options.
What If My Project Takes Longer Than Expected?+
Construction delays, permitting issues, contractor scheduling, and unexpected repairs can all extend a project's timeline. Contact Brighton Asset Management as soon as possible, as loan extension options may be available depending on the circumstances.
Can I Refinance Out of a Hard Money Loan?+
Yes. Many borrowers refinance into a conventional mortgage, DSCR loan, commercial loan, or other long-term financing once the property has been renovated, stabilized, or leased.
Can I Extend My Hard Money Loan If Needed?+
Brighton Asset Management offers extensions for a fee. Borrowers should contact BAM as early as possible if they anticipate needing additional time.
What Happens If I Can't Repay on Time?+
If a loan is not repaid by its maturity date, it is considered in default under the loan documents unless an extension or other agreement has been approved. Borrowers who anticipate repayment challenges should contact Brighton Asset Management as soon as possible.
Still Have Questions?
Our lending team is happy to discuss your project and determine whether it's a fit.
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