Real Estate Investment Loans in Arkansas City

Investment property financing is utilized by borrowers as a temporary method to buy a commercial or residential investment property or to get refinancing for a prior investment. Having access to Arkansas City investment property loan offerings at the right time, with a suitable loan structure, time period and rate, can assist real estate investors to keep going on their path to achieving success.

Investment home mortgages, being fast closing and easy to be approved for, supply Arkansas City real estate investors with considerable benefits. Although the majority of banks are reluctant to loan money to a self-employed customer, privately owned financing firms will have no problem authorizing financing, as long as the investment project has a strong likelihood of generating a profit, the borrower has undertaken similar projects before, and he provides a well thought out exit strategy and the financial ability to satisfy the mortgage terms. The person must be able to put a down payment towards the home or make use of existing equity. Because privately owned lending institutions generally require a lot less forms and documents compared with banks and government agencies, private real estate investment loans in Arkansas City do not take as much time when compared with traditional mortgages and close fast.

Real estate investors who have excess equity inside their properties can put it to use towards additional real estate ventures or to enhance their amount of working capital. As one example, a husband and wife who lived next to Lake Michigan in a tourist region bought a bank-owned investment property for $600,000. They spent $150,000 on transforming and renovating the residence, after which they started a B&B rental and the appraised valuation rose to $1.2 million.

The total annualized cash flow received from the home amounted to $120,000 per year. A bad credit score of 460 made it almost impossible to use a regular bank to recover their personal investment of $150k. A real estate investor loan at 65% loan-to-value with Read Rock Capital (Read Rock Capital) gave the couple $780,000 and helped them recoup their personal cash from the property.

Real estate investor loans are furthermore good for those who choose to do a cash-out refi to use equity from their real estate holdings for making down payments on other properties. Look at the circumstances of an individual who obtains a fix-and-flip property or home in Arkansas City, completes the needed renovations, but struggles to locate a buyer for it. His funds are stuck in this house, which means that he may miss out on a number of other investment possibilities. Typical lenders like banks mandate the person to have owned the home for one year. But regardless of whether the property is empty and waiting around for a purchaser, Read Rock Capital can still complete a cash-out refinance of as much as 70% loan-to-value of the as-is valuation of the premises.

Read Rock Capital understands that the lending needs of a real estate investor are not the same as that of an ordinary home buyer. Your search for the ideal Arkansas City real estate investment loan comes to an end here. Fill out the form on this page or get in touch with us via phone to talk about which kind of investment property loan is going to be ideal for your property or properties.

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