There's this phenomenal possibility for rehabbing and flipping this wonderful old house in a fantastic area and it seems like the one you have been expecting for quite a while. You've heard that professional home flippers, like the married couple on HGTV's Flip or Flop, turn a remarkable average profit close to $40,000 – $50,000. Undoubtedly, you also are aware that their results are attributed to the fact that they're professionals, are well versed in hard money loans, they understand the marketplace quite well and furthermore, they know how to work a public auction to purchase their homes at a good deal. Nonetheless, your rehab and renovation skills aren't that bad either — aside from that, you have already found a suitable contractor to handle this job.

But financing can be a separate problem entirely. A traditional lender, say for example a bank, takes at the very least one to two months to authorize the mortgage and deliver the monies. Thus if you are looking for a fast closing, it's important to be aware that this will cost you a couple of weeks, causing you to miss out on the home.

On top of this, banks have been tightening up their lending criteria as of late, rendering it more hard for someone to get a traditional home loan if their credit score is not flawless or he is lacking a regular salaried occupation. So does this leave you with no other option, but to give up your ambition of venturing into rehabbing? Most certainly not, seeing as you always have the Waterbury hard money loan option.

A hard money home loan in Waterbury offers you what is considered imperative to most real estate deals — a quick closing of only a few weeks and at times even less. What's more, the LTV value can range up to 70% of the home value, as evaluated by a credentialed appraiser. On the surface, hard money real estate loans, with starting interest rates of 10%, appear to be more pricey than bank lending products. But usually, the rate of interest is not as pertinent for these loans, simply because they aren't long-term loans. The price tag on such short-term loans should be viewed much like every other expenditure that you would have to meet for the project. And once you've finally sold the home, recovering this expense is identical to recuperating the expense for all the bathroom upgrades you performed.

Apart from this, hard money mortgages are easy qualifying, even if you posses bad credit. Rather than focusing only on the person's credit score or wages, Waterbury hard money lenders, who could be a private company or an individual person, authorize a loan as a result of assessing the home value, how easy it will be to market, where it is located, and the probability of recovering their capital in the event of foreclosure. How much of their own money an applicant can put upfront for the house, his real estate experience, and selling price of comparable homes in the same vicinity are various other details that go into determining an individual's qualification for a hard money real estate loan.

So in the event you run into a very good and profitable flipping opportunity, relax knowing you'll have a hard money lender in Waterbury, equipped to loan you the capital you will need. Complete the form or call us and let's discuss your project.