Hard Money Loans in Ballston Spa
There's this phenomenal opportunity to rehab and flip this nice outdated home in a very good part of town and it looks like the one you've been anticipating for a long time. You've probably heard that professional home flippers, like the couple on HGTV's Flip or Flop, have an impressive average profit margin close to $40,000 – $50,000. Of course, you also recognize that their successes are attributed to the simple fact that they're professionals, are knowledgeable in hard money loans, they understand the market really well and in addition, they are good at working a public auction for getting a good deal. Still, your rehab and remodeling knowledge isn't bad either — aside from that, you have already identified a suitable contractor to handle the job.
But where do you find the necessary capital for flipping? When you get in touch with a customary lender, like a bank for a mortgage loan, it very likely will take, as a minimum, four to eight weeks for the approval to come through and your money to be furnished. Because most home owners wish to have a fast closing, it may be advisable to start seeking out additional financing alternatives.
Moreover, if you have a less-than-perfect credit rating or don't have a conventional income, it may be more challenging for you to qualify for a bank loan, seeing the tighter loan requirements banks have put in place in recent times. So will a lack of funds prevent you from sticking to your aspirations? Never, because you could always use the Ballston Spa, New York hard money loan approach to pay for your rehab project.
If you should apply for a hard money home loan in Ballston Spa, you're going to get what's probably most important to real estate transactions across the country — a fast closing of around 2 weeks. Plus, the LTV value can range up to 70% of the property value, as determined by a credentialed appraiser. A number of people believe hard money real estate loans to be higher in price than ordinary financing, since the lending rates for such loans often start out at 10%. But when you appreciate that these are not long-term home loans, the rate may be misleading. Short-term loans of a couple months to a few years are best understood in terms of cost of capital, very much like every other expenditure associated with a project. Once you have turned the property or home and have made a successful gain, you'll be able to get back this expense from the property or home — very much like recouping the cost of brand-new home appliances that you've put in.
Additionally, it is easy to obtain a hard money mortgage, regardless of whether your credit situation is not that great. Ballston Spa hard money lenders don't take on a loan strictly on the basis of the customer's credit score — rather they will assess the property or home, its valuation and location, and the home's ability to pay back the loan without the help of the applicant. The amount that an individual can put upfront towards the property, how much practical experience he has in real estate investments, and selling price of comparable homes in the vicinity are other factors that go into establishing a borrower's qualification for a hard money real estate loan.
So if you have stumbled upon a wonderful real estate opportunity with a significant prospect of returns, you've also discovered a hard money lender in Ballston Spa that is happy to finance your fix and flip ventures. Submit the contact form on this page or get in touch with us via phone to talk about your property or properties.
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