Hard Money Loans in Ashville

There's this phenomenal possibility for rehabbing and flipping this nice old property in a good part of town and it looks a lot like the one you've been eagerly waiting on for quite a while. A majority of people know that expert professional flippers, like Tarek and Christina El Moussa from HGTV's reality home flipping show, Fix or Flop, can readily turn a typical profit of $40,000 to $50,000 in their rehab business. Without question, their past experiences rehabbing, understanding of hard money loans, familiarity with the market, and auction talents have played an important part in their successes. That said, you have also been cultivating your rehab and remodeling knowledge, have a very good general contractor arranged and are confident that you're capable of doing a great job on this property.

But where do you find the necessary funding for home flipping? Should you approach a common lending institution, such as a bank for a mortgage loan, it can take, at a minimum, thirty to sixty days for your acceptance to be completed and your funds to be dispersed. So if you will be hoping for a fast closing, you have to be aware that this could cost you weeks, causing you to miss out on the house.

On top of this, banks have been tightening up their lending standards as of late, which makes it difficult for someone to receive an ordinary loan if their credit score is not flawless or he does not have a consistent salaried profession. So will inadequate funding keep you from sticking to your dream? Never, on the grounds that you could always go the hard money loan route to finance your home renovating project.

A hard money home loan in promises what is probably most crucial to real estate investors — a quick closing time of as little as 2 weeks. Aside from that, loans are made up to 70% loan-to-value of the "as is" property value, as established by a licensed appraiser. A number of people regard hard money real estate loans to be more costly than customary loans, considering lending rates for such loans generally start at 10%. But if you appreciate that these are not long-term mortgage loans, the rate tends to be misleading. As it pertains to short-term loans of 1 or 2 years or less, you should consider them just like you would other expenses for the project. Once you have turned the home and have made a successful gain, you can recoup this expense from the property or home — much like recovering the cost of brand-new kitchen appliances that you put in.

Moreover, even someone with low credit will be able to qualify for a hard money mortgage. As an alternative for focusing exclusively on the borrower's credit score or wages, hard money lenders, who could be a private company or an individual person, approve a loan after assessing the home value, how easy it will be to market, its location, and the likelihood of getting back their money in the event of foreclosure. How much money an applicant can put down in advance for the home, his real estate experience, and selling price of comparable homes in the same area are various other factors that go into determining an applicant's suitability for a hard money real estate loan.

Locating a hard money lender in to finance your real estate project is not difficult, as long as the opportunity that lies before you is promising and has a good potential for returns. Complete the contact form or call us and let's talk about the property or properties you have in mind.

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