Hard Money Loans in Aubrey
There's this amazing opportunity to rehab and flip this nice outdated home in a very good location and it seems a lot like the one you have been looking forward to for quite some time. Most folks know that capable professional flippers, such as Tarek and Christina El Moussa who do HGTV's reality home flipping series, Fix or Flop, are able to earn an average profit margin of $40,000 to $50,000 when they flip properties. Naturally, you also are aware that their success are due to the fact that they are experts, are knowledgeable in hard money loans, they know the marketplace quite well and additionally, they know how to work a public auction to purchase their properties at an appropriate deal. Nevertheless, you're assured that your first class rehab and remodeling abilities will enable you to do a great job on this house — additionally, you already have lined up one of the best contractors in town to take on the job.
But how can real estate investors get money? A conventional lending institution, for instance a bank, takes at the very least 1 to 2 months to approve the financing and provide the monies. With the sellers wanting a fast closing, that doesn't appear to be a good option to you at all.
What's more, for those who have a sub-optimal credit rating or don't have a routine source of income, it may be harder to obtain bank financing, with the more stringent loan criteria banks have introduced in recent times. So should you admit defeat and forego your aspiration to venture into fix and flips? Never, because you could always go the Aubrey hard money loan route to fund your flipping project.
A hard money home loan in Aubrey promises what's perhaps most desired by real estate investors — a quick closing in as few as fourteen days. Furthermore, hard money lenders can approve loans up to 70% LTV of the property or home value, as established by a credentialed third-party evaluator. Some people believe hard money real estate loans to be more expensive than regular financing, because the lending rates of such loans normally start off at 10%. But in reality, the rate of interest is not as relevant for these loans, given that they are not long-term loans. The price of such short-term loans should be viewed much like every other expense that you would encounter during the project. After you rehab and sell off the home, recovering this expense is no different than recovering the one for stainless steel appliances you installed in the property.
Moreover, even someone with low credit can easily be eligible for a hard money mortgage. Aubrey hard money lenders do not take on a loan solely according to the borrower's credit score — instead they also assess the property or home, its valuation and location, and the home's capacity to pay back the financing independent of the borrower. Adding to that, if the person can demonstrate prior experience in similar real estate ventures, can place down money for the down payment, and the cost of comparable houses in the vicinity works in his favor, he has got a really good likelihood of being approved to get a hard money real estate loan.
If you happen to have stumbled upon a really great real estate opportunity with a high potential for returns, you have also found yourself a hard money lender in Aubrey who is ready to provide funding for your flipping project. Fill out the contact form or get in touch with us via phone and let's discuss your property or properties.
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