Hard Money Loans in Bangor
Suppose that you've come across this truly good deal for a fix and flip property you found in a terrific neighborhood, and you are either a skilled real estate investor or a first-timer who wants to try out flipping houses. Everyone knows that capable professional flippers, such as Tarek and Christina El Moussa who do HGTV's reality flipping show, Fix or Flop, can readily turn a typical profit margin of $40,000 to $50,000 when they flip properties. Naturally, you also realize that their results are attributed to the fact that they are industry experts, are knowledgeable in hard money loans, they know the marketplace quite well and additionally, they are good at working an auction for getting a reasonable deal. However, you're convinced that your first class rehab and renovation skills will help you do a quality job on this property — in addition, you already have arranged to have one of the most suggested building contractors in the area to work on this job.
But financing is often a separate issue entirely. When you meet with a customary lender, much like a bank for a loan, it very likely will take, at the very least, 4-8 weeks for the approval to be completed and your money to be sent out. Thus if you are looking for a fast closing, you have to understand or know that this will cost you a couple of weeks, making you lose out on the house.
To add to it, banks have already been tightening up their lending requirements in recent times, which makes it hard for a person to get a regular home loan if their credit score is not perfect or he does not have a consistent salaried profession. So will a lack of financing prevent you from sticking to your aspirations? Under no circumstances, especially while Bangor hard money loans can help you achieve great things in the real estate world.
If you should get a hard money home loan in Bangor, you will get what's possibly most vital to real estate purchases throughout the country — a quick closing of roughly 14 days. Aside from that, loan amounts can be made up to 70% loan-to-value of the "as is" house value, as deemed by a professional appraiser. With rates starting near 10%, hard money real estate loans may appear, initially, to be more pricey when compared with traditional bank lending products. But the time frames of these loans tend to be relatively shorter, making the interest rate far less important. The price of such short-term loans should be considered much like every other financial outlay that you will encounter in the course of the project. After you rehab and sell off the property, recuperating this expense is just like recouping the one for home appliances you placed into the home.
In addition, even someone with poor credit can still be eligible for a hard money mortgage. The person's credit score isn't the sole determining factor for Bangor hard money lenders — additionally, they analyze the home, what is it valued at, where it is located, and its capacity to bring back their financial commitment if everything does not go as intended. The amount that a borrower can put upfront for the house, how much experience he has in real estate investing, and selling price of comparable homes in the vicinity are various other details that go into analyzing a borrower's suitability for a hard money real estate loan.
So should you run into a very good and lucrative investment opportunity, be assured you will have a hard money lender in Bangor, able to lend you the money you'll need. Complete the contact form or call us and let's talk about the property you have in mind.
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