Hard Money Loans in Augusta
An incredible deal on a fix and flip opportunity located in a very good neighborhood shows up out of the blue — sounds so good that it is difficult to believe. You've heard that competent home flippers, similar to the husband and wife on HGTV's Flip or Flop, enjoy a remarkable average return of around forty to fifty thousand dollars. And indeed, they are aided in a big way via their professional know-how, auction abilities and knowledge of hard money loans. Still, your rehab and remodeling skills aren't that bad either — besides, you've already found a suitable contractor to take on this home.
But how can you find the needed financing for home flipping? A standard lending institution, for instance a bank, takes a minimum of 1 to 2 months to consent to the financing and provide the cash. Due to the fact all the sellers are wanting to find a fast closing, that does not appear to be a wise idea to you whatsoever.
With banks bringing in tougher loan guidelines in the recent past, it is now tougher for a self-employed person to find a mortgage loan, especially when his credit situation is not optimal. So does that mean you have no option, but to drop your dream of venturing into home flipping? Most certainly not, seeing as you always have the Augusta hard money loan alternative.
When you opt for a hard money home loan in Augusta, you will get what is perhaps most vital to real estate purchases throughout the country — a fast closing of around 2 weeks. Furthermore, hard money lenders are capable of doing loans up to 70% LTV of the property value, as estimated by a certified third-party evaluator. With interest rates starting near 10%, hard money real estate loans may seem, at first glance, to be higher priced in comparison with conventional bank financing. But the lengths of these loans are relatively shorter, which makes the rate much less significant. As it pertains to short-term loans of a handful of years or even less, you should consider them the same as you might for every other expense for the project. Once you have sold the house and have made a positive profit, you can recover this expense from the house — similar to recovering the money spent on the brand-new appliances for the kitchen that you put in.
Also, it's simple to qualify for a hard money mortgage, even if your credit score is not that superb. The borrower's credit score isn't the single deciding factor for Augusta hard money lenders — additionally, they evaluate the piece of real estate, what is it valued at, its location, and its capacity to return their investment if things should not work out as planned. How much a person can put upfront towards the property, his past real estate experience, and price range of comparative properties in the same area are additional factors that go into determining a borrower's eligibility for a hard money real estate loan.
So should you come across a very good and lucrative investment opportunity, be assured you'll have a hard money lender in Augusta, able to lend you the money that you need. Fill out the form on this page or call us to talk about your project.
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