Hard Money Loans in Portland

Suppose that you've run into this truly good bargain on a fix and flip property you found in a terrific location, and you are either a skilled real estate investor or a newbie who hopes to try his hand at flipping. Many people know that capable professional flippers, like Tarek and Christina El Moussa who star in HGTV's reality flipping series, Fix or Flop, can readily make a typical profit margin of forty to fifty thousand dollars in their rehab business. It goes without saying their past experiences rehabbing, knowledge of hard money loans, expertise in their market, and auction talents have played an important part in their success. With that being said, you have also been cultivating your rehab and renovation skills, have a very good building contractor ready for the project and are confident that you can do a great job for this house.

But capital is often a separate problem entirely. If you approach a regular lending institution, much like a bank for a mortgage loan, it is very likely going to take, at the very least, 30-60 days for the approval to be completed and the funds to be distributed. Since most sellers would prefer a fast closing, you might have to start seeking out some other funding alternatives.

With banks bringing in tougher loan guidelines in the recent past, it is harder for a self-employed person to get a home loan, particularly if his credit circumstances are not perfect. So must you stop trying and abandon your aspiration to venture off into fix and flips? Most certainly not, given that you always have the Portland hard money loan option.

If you should obtain a hard money home loan in Portland, you're going to get what's probably most vital to real estate offers across the country — a very fast closing of roughly two weeks. Further, financing can be made up to 70% loan-to-value of the "as is" house's valuation, as established by a qualified appraiser. On the surface, hard money real estate loans, with starting interest rates of 10%, appear to be more costly than bank financing. But once you consider these loans are not long-term mortgage loans, the rate can be misleading. Short-term loans of a couple months to a handful of years are best looked at as cost of capital, much like every other expenditure in connection with a project. When you have turned the property and have made a successful financial gain, you'll be able to reclaim this expense from the property — similar to recovering the money spent on the brand-new kitchen appliances that you've installed.

What's more, it is easy to be eligible for a a hard money mortgage, even if your credit situation is not that impressive. Instead of focusing exclusively on the applicant's credit score or net income, Portland hard money lenders, who could be a privately owned company or an individual person, authorize a loan after assessing the property value, its salability, where it is located, and the probability of recovering their money in case of foreclosure. Other variables that influence a borrower's acceptance for a hard money real estate loan include what amount of money he is in a position to put into a down payment, his former experience as a real estate investor, and price of similar, recently sold properties in the neighborhood.

So any time you run into a really good and profitable flipping opportunity, relax knowing you will have a hard money lender in Portland, willing to lend you the capital that you need. Fill out the form or get in touch with us via phone and let's talk about your property.

Request More Information

A loan specialist will be in touch shortly

Personal Info

Project Info

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