There's this amazing opportunity to renovate and flip this wonderful old property in a good location and it seems like the deal you have been eagerly waiting on for quite a while. Expert residential home flippers, much like the young couple on Flip or Flop, HGTV's reality flipping show, are able to haul in a gain of forty to fifty grand on a consistent basis. And without a doubt, they are aided in a big way due to their professional experience, auction expertise and familiarity with hard money loans. Nonetheless, your rehab and remodeling knowledge isn't bad either — aside from that, you've already found a good licensed contractor to take on the project.

But how can you obtain the needed financing for flipping? A traditional lender, like for example a bank, takes at the very least one to two months to approve the mortgage and provide the cash. With all the home owners looking for a fast closing, that does not seem like a good option to you in the slightest.

Furthermore, in case you have an unfavorable credit score or don't have a regular income source, it may be more challenging for you to be eligible for bank financing, considering the tighter loan guidelines banks have introduced as of late. So will a lack of funding stop you from sticking with your ambitions? Most certainly not, given that you also have the 77257 hard money loan alternative.

If you should opt for a hard money home loan in 77257, you're going to get what's perhaps most vital to real estate purchases throughout the country — a quick closing of approximately fourteen days. Plus, the LTV value can range up to 70% of the property value, as determined by a certified appraiser. A number of people regard hard money real estate loans to be higher in price than standard loans, since the interest rates for these loans generally start at 10%. But usually, the interest rate isn't as pertinent for these loans, because they aren't long-term financing. Short-term loans of several months to a few years are best understood in terms of cost of capital, very much like all other costs associated with a project. And when you have sold the house, recuperating this expense is identical to recouping the expense for the kitchen and bath upgrades you did.

Moreover, even someone with low credit can still qualify for a hard money mortgage. Instead of focusing strictly on the person's credit score or wages, 77257 hard money lenders, who may be a private company or an individual, approve a loan after analyzing the home value, its marketability, where it is located, and the likelihood of recuperating their money if they have to foreclose the loan. Other factors that have an impact on an applicant's approval for a hard money real estate loan include what amount of money he is able to put into a down payment, his past experience as a real estate investor, and price of comparative, just recently sold residences in the area.

If you happen to have found a really good fixer-upper with a high prospect of returns, you've also discovered a hard money lender in 77257 that is happy to provide funding for your rehab project. Submit the form or call us and let's discuss your property or properties.