You discovered this amazing possibility for fixing and flipping this wonderful old condo in a good location and it looks a lot like the one you have been wanting for quite some time. Professional property flippers, like the young couple on Flip or Flop, HGTV's reality flipping program, are able to bring in a gain of $40-$50k for most homes. And yes, they are aided in a big way via their professional knowledge, auction abilities and familiarity with hard money loans. Having said that, you have likewise been developing your rehab and remodeling skills, have a very good general contractor ready for the project and are certain that you will be able to do a bang up job for this home.

But how do you obtain the necessary financing for home flipping? A conventional lending institution, like for example a bank, takes at a minimum 1-2 months to consent to the mortgage and release the cash. So if you're expecting a fast closing, it's important to understand or know that this may set you back by weeks, making you lose out on the home.

To add to it, banks have already been tightening up their lending standards in recent times, making it hard for people to receive a conventional home loan if their credit rating is not flawless or he doesn't have a regular salaried occupation. So does that leave you with no other option, but to give up your ambition of getting into home renovating? Absolutely not, seeing as you always have the Slaton hard money loan option.

A hard money home loan in Slaton promises what is perhaps most essential to real estate investors — a very fast closing time of as few as 14 days. Also, hard money lenders can do funding up to 70% LTV of the property value, as determined by a qualified third-party evaluator. With the interest rates starting around 10%, hard money real estate loans might seem, at first, to be more pricey when compared with conventional bank loans. But in reality, the rate of interest is not as pertinent for these loans, because they will never be long-term financing. The price tag on such short-term loans should be viewed on par with every other expense that you would have to meet for the project. After you renovate and sell the property, recouping this expense is no different than recovering the expense for stainless steel appliances you installed in the home.

What's more, it is simple to be eligible for a hard money mortgage, regardless of whether your credit situation is not that superb. Slaton hard money lenders do not approve a loan strictly according to the customer's credit score — rather they will evaluate the home, its valuation and location, and the home's capacity to pay back the financing on its own. The total amount that a borrower can put upfront towards the home, how much practical experience he has in real estate investments, and selling price of comparative properties in the same area are various other details that go into analyzing a person's suitability for a hard money real estate loan.

Finding a hard money lender in Slaton to finance your renovation project is not hard, as long as the opportunity in front of you is promising and offers a good prospect for returns. Fill out the contact form on this page or call us and let's discuss your project.