A fantastic bargain on a fix and flip property in an excellent subdivision all of a sudden shows up — seems so good that it is hard to believe. Most folks know that capable professional flippers, such as Tarek and Christina El Moussa from HGTV's reality home flipping series, Fix or Flop, can make a typical profit margin of $40,000 to $50,000 on their home projects. No need to explain that their past experiences rehabbing, knowledge of hard money loans, expertise in their market, and auction skills have played a big part in their success. Nonetheless, your rehab and renovation knowledge isn't bad either — in any case, you've already identified an ideal general contractor to tackle the home.

But money is often a separate problem entirely. When you opt for a normal loan from the bank, you will end up waiting approximately 1-2 months up until the money is approved and your funds are ready. Given that sellers prefer a fast closing, it may be best to begin seeking out other financing alternatives.

As well as this, if you have a less-than-perfect credit score or don't have a regular income source, it is usually tougher for you to obtain bank financing, seeing the tougher loan requirements banks have introduced recently. So will a shortage of funding keep you from following your dream? Not at all, especially when 76007 hard money loans enable you to achieve great things in the real estate market.

Should you opt for a hard money home loan in 76007, you have access to what's perhaps most essential to real estate negotiations throughout the country — a very fast closing of roughly 2 weeks. Also, hard money lenders will often consent to lending up to 70% LTV of the home value, as estimated by a credentialed third-party evaluation. With rates starting near 10%, hard money real estate loans might appear, at first, to be higher priced when compared with traditional bank lending products. But in reality, the interest rate isn't as pertinent for these loans, since they are not long-term financing. The price of such short-term loans should be viewed much like every other financial outlay that you will have to meet pertaining to the project. And when you have flipped the house, recovering this expense is comparable to recovering the expense for all the bathroom upgrades you did.

Additionally, it's easy to be eligible for a a hard money mortgage, even if your credit score is not that impressive. As an alternative for focusing only on the borrower's credit score or net income, 76007 hard money lenders, who could be a privately owned company or an individual, say yes to a loan as a result of assessing the home value, ease of marketability, where it is located, and the odds of recuperating their capital should they have to foreclose the loan. On top of that, if the person can demonstrate past experience in similar real estate projects, can put down cash towards the down payment, and the value of comparative homes in the area works in his favor, he has an excellent chance of qualifying for a hard money real estate loan.

So if you have stumbled upon an excellent fixer-upper with a significant prospect of returns, you've also stumbled upon a hard money lender in 76007 that is prepared to finance your rehab projects. Complete the contact form or give us a call to talk about your property.