An incredible bargain on a fix and flip opportunity located in a good subdivision suddenly shows up — sounds too good to be true. Everyone knows that expert professional flippers, like Tarek and Christina El Moussa who do HGTV's reality home flipping show, Fix or Flop, can generate an average profit of forty to fifty thousand dollars on their home projects. Of course, you also are aware that their successes can be credited to the fact that they're professionals, are proficient in hard money loans, they know the marketplace really well and additionally, they know how to work a public auction for getting a reasonable deal. However, you are convinced that your impressive rehab and renovation knowledge can help you do a great job for this home — what's more, you have already arranged to have one of the most suggested building contractors in town to handle this project.

But where do you get the necessary capital for home flipping? A typical lender, for instance a bank, takes at least 1-2 months to authorize the loan and hand over the funds. So if you're looking for a fast closing, it's important for you to realize that this could set you back by a couple of weeks, causing you to lose out on the home.

To add to it, banks have already been tightening their lending criteria in recent years, which makes it difficult for someone to get an ordinary loan if their credit rating is not flawless or he does not have a regular salaried profession. So does this leave you with no option, but to drop your aspiration to venture into rehabbing? Never, due to the fact you can always go the 78275 hard money loan route to fund your flipping project.

A hard money home loan in 78275 provides what is considered imperative to most real estate sales — a fast closing of only a couple of weeks and oftentimes less. And additionally, loan amounts are made up to 70% loan-to-value of the as-is property value, as determined by a professional appraiser. On the surface, hard money real estate loans, with starting lending rates of 10%, appear to be higher in price than bank loans. But when you understand these are not long-term loans, the interest rate may be misleading. As it pertains to short-term loans of 1 or 2 years or even less, you should consider them just like you would other expenditures for your project. Once you've resold the property and have made a good gain, you can recover this expense from the property or home — the same as recouping the money spent on the brand-new home appliances that you've installed.

What's more, it's simple to be eligible for a a hard money mortgage, even in the event your credit score is not that extraordinary. The borrower's credit score will not be the sole deciding factor for 78275 hard money lenders — additionally, they consider the piece of real estate, what is it valued at, where it is located, and its capacity to earn back their financial commitment if things should not go as intended. Other criteria that affect a customer's approval for a hard money real estate loan can include what amount of money he is able to put towards a down payment, his past experience being a real estate investor, and price range of comparable, just recently sold residences in the vicinity.

So should you run into a good and worthwhile flipping opportunity, rest assured you will have a hard money lender in 78275, equipped to lend you the cash you'll need. Fill out the form on this page or call us to discuss the property you have in mind.