Suppose you've run into this truly good bargain for a fix and flip property in an ideal location, and you're either a seasoned real estate investor or a newbie who really wants to try his hand at flipping. Professional house flippers, much like the young married couple on Flip or Flop, HGTV's reality flipping program, are able to bring in a profit of forty to fifty grand as an average on multiple occassions. Of course, you also recognize that their successes are due to the fact that they're industry experts, are well versed in hard money loans, they understand the market really well and they also are good at working an auction for getting an appropriate deal. On the other hand, you are certain that your superb rehab and renovation knowledge will help you do a great job for this house — in addition, you've already lined up one of the most sought after general contractors in town to handle this project.

But money is often a different question entirely. Should you go after an ordinary loan via a bank, you will end up waiting around approximately 1-2 months until eventually the mortgage is authorized and your money is ready. Given that home owners would prefer a fast closing, you might need to start looking for some other financing options.

To add to it, banks have been tightening their lending criteria in recent years, which makes it tough for a person to get a regular home loan if their credit score is not flawless or he does not possess a consistent salaried profession. So will inadequate funding keep you from following your dream? Certainly not, on the grounds that you could always go the Seaford hard money loan route to pay for your rehab project.

A hard money home loan in Seaford promises what's probably most important to real estate investors — a fast closing time of as few as two weeks. Besides that, hard money lenders frequently agree to funding up to 70% LTV of the property's valuation, as calculated by a credentialed third-party appraiser. On the surface, hard money real estate loans, with starting lending rates of 10%, appear to be more expensive than bank lending options. But the term lengths for these loans are comparatively shorter, which means the rate is less significant. Short-term loans of several months to a handful of years are best thought of as cost of capital, very much like every other expense associated with a project. And when you have sold the property or home, recouping this expense is the exact same as recouping the expense for all the bathroom updates you did.

Aside from that, hard money mortgages are not hard to qualify for, even when you have a weak credit score. The applicant's credit score is not the lone deciding factor for Seaford hard money lenders — in addition, they consider the property, how much it is worth, its location, and its capability to bring back their financial commitment if things should not work out as intended. How much of their own money a borrower can put upfront towards the property, his real estate experience, and selling price of comparable homes in the same neighborhood are additional factors that go into determining a borrower's qualification for a hard money real estate loan.

So should you come across a good and profitable investment opportunity, relax knowing you will have a hard money lender in Seaford, equipped to loan you the money you will need. Complete the form or give us a call and let's talk about the property or properties you have in mind.