Hard Money Loans in Struthers
A fantastic deal on a fix and flip property in a very good neighborhood suddenly shows up — sounds so good that it's difficult to believe. Professional home flippers, such as the young married couple on Flip or Flop, HGTV's reality flipping series, are able to haul in a gain of $40-$50k for most homes. No need to explain that their past experiences rehabbing, understanding of hard money loans, expertise in their housing market, and auction skills have played a significant role in their success. With that being said, you have also been brushing up your rehab and renovation skills, have got a building contractor ready for the project and are certain that you're capable of doing a great job on this home.
But where do real estate investors obtain financing? A traditional lending institution, say for example a bank, takes at least 1-2 months to approve the loan and release the funds. So if you're wishing for a fast closing, you have to recognize that this may cost you a couple of weeks, making you lose out on the home.
On top of this, banks have already been tightening their lending requirements as of late, making it tough for people to receive a regular loan if their credit situation is not flawless or he is lacking a consistent salaried occupation. So do you have to stop trying and abandon your aspiration to venture into real estate? Absolutely not, seeing as you always have the Struthers hard money loan option.
A hard money home loan in Struthers provides you with what is probably most crucial to real estate investors — a very fast closing time of as little as a few weeks. In addition, the LTV value can range up to 70% of the home's valuation, as estimated by a credentialed appraiser. A number of people believe hard money real estate loans to be more expensive than standard loans, considering lending rates of such loans often start at 10%. But usually, the rate of interest is not as useful a measure for these loans, since they aren't long-term financing. When it comes to short-term loans of 1 or 2 years or less, you should think about them the same as you would for every other expenditure for the project. And as soon as you have turned the property or home, recouping this expense is comparable to recuperating the expense for all the kitchen and bath updates you performed.
Besides, hard money mortgages are not difficult to qualify for, even when you have a low credit score. Struthers hard money lenders do not authorize a loan solely on the basis of the applicant's credit score — instead they also examine the property, where it is located and what it is worth, and the home's ability to pay back the financing without the assistance of the person. On top of this, if the person can demonstrate prior experience in equivalent real estate projects, can place down cash for the down payment, and the cost of comparable homes in the area works to his benefit, he has got a really good chance of being eligible to obtain a hard money real estate loan.
If you happen to have stumbled on a wonderful fixer-upper with a high probability of returns, you've also stumbled upon a hard money lender in Struthers who is ready to finance your fix and flip ventures. Enter your info into the contact form on this page or give us a call to talk about the project you have in mind.
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