Hard Money Loans in Lafayette

There's this phenomenal opportunity to fix and flip this wonderful old condo in a fantastic location and it seems like the one you've been wanting for quite a while. Expert residential home flippers, such as the young married couple on Flip or Flop, HGTV's reality flipping program, are capable of generating a gain of $40-$50k on average. Of course, you also are aware that their success are credited to the fact that they're professionals, are proficient in hard money loans, they know the marketplace really well and additionally, they are good at working an auction to purchase their properties at an appropriate price. Still, your rehab and remodeling skills aren't that bad either — in any case, you've already found an ideal contractor to tackle the job.

But funding is often a different problem altogether. A traditional lender, say for example a bank, takes no less than 1-2 months to consent to the mortgage and release the monies. Thus if you are hoping for a fast closing, it's important to recognize that this will cost you a couple weeks, causing you to miss out on the house.

As well as this, should you have an unfavorable credit score or do not have a regular income source, it is usually more difficult to obtain a bank loan, seeing the tougher loan criteria banks have introduced in recent times. So will inadequate funds keep you from sticking with your dream? By no means, considering that you could always use the Lafayette hard money loan approach to pay for your flipping project.

A hard money home loan in Lafayette provides you with what's possibly most important to real estate investors — a quick closing time period of as little as a few weeks. Furthermore, hard money lenders frequently agree to funding up to 70% LTV of the home's valuation, as assessed by a qualified third-party appraiser. With the lending rates starting around 10%, hard money real estate loans may look, at first glance, to be higher priced in comparison with conventional bank loans. But in reality, the lending rate is not as relevant for these loans, simply because they are not long-term loans. As it pertains to short-term loans of several years or less, you should think of them similar to any sort of other expenditure for your project. And as soon as you've turned the home, recouping this expense is identical to recuperating the expense for the bathroom or other upgrades you performed.

Moreover, even a person with bad credit can easily be eligible for a hard money mortgage. The applicant's credit score is not the sole determining factor for Lafayette hard money lenders — in addition, they analyze the piece of real estate, how much it is worth, its location, and its potential to earn back their investment if things do not go as planned. How much a person can put upfront for the property, how much experience he has in real estate investing, and selling price of comparative properties in the neighborhood are additional factors that go into analyzing a borrower's eligibility for a hard money real estate loan.

So in case you have stumbled on a really great fixer-upper with a huge chance of returns, you've also stumbled upon a hard money lender in Lafayette that is ready to fund your rehab project. Enter your info into the form on this page or get in touch with us via phone and let's discuss the property you have in mind.

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Investment property loans only please, no primary residences at this time.