A fantastic deal on a fix and flip property in a good area of the city shows up out of the blue — seems so good that it's hard to believe. Professional house flippers, like the young married couple on Flip or Flop, HGTV's reality flipping program, are able to bring in a profit of $40-$50k for the majority of homes. It's fair to say their rehabbing experience, knowledge of hard money loans, familiarity with the market, and auction talents have had an important part in their success. Still, your rehab and remodeling knowledge isn't bad either — besides, you've already identified the right licensed contractor to start this job.

But where do real estate investors find financing? When you opt for a traditional loan from the bank, you will have to wait somewhere around one to two months before the mortgage is authorized and the money is readily available. Since most home owners would rather have a fast closing, you may have to begin looking for some other financing options.

Moreover, if you have an unfavorable credit score or don't receive a routine income source, it can be harder for you to be eligible for bank financing, considering the tighter loan guidelines banks have introduced as of late. So will inadequate funding stop you from following your ambitions? Under no circumstances, particularly while Beaufort hard money loans enable you to accomplish many amazing things in real estate.

Should you opt for a hard money home loan in Beaufort, you'll get what is perhaps most essential to real estate offers across the country — a fast closing of about 2 weeks. Furthermore, hard money lenders can approve loans up to 70% LTV of the property or home's valuation, as determined by a licensed third-party appraiser. Some people consider hard money real estate loans to be more costly than ordinary financing, since the lending rates for such loans typically start at 10%. But the term lengths for these loans are comparatively short, which means the rate is much less significant. When it comes to short-term loans of a handful of years or even less, you should look at them identical to any sort of other expense for your project. When you have sold the property or home and have made a positive financial gain, you can recover this expense from the property or home — very much like recovering the cost of brand-new home appliances that you've installed.

Furthermore, even someone with weak credit can easily qualify for a hard money mortgage. The applicant's credit score isn't the exclusive deciding factor for Beaufort hard money lenders — additionally, they consider the property, how much it is worth, its location, and its potential to return their investment if things do not work out as planned. How much money an individual can put down in advance towards the property or home, his past real estate experience, and price range of comparable homes in the neighborhood are other details that go into determining an individual's eligibility for a hard money real estate loan.

So in case you have stumbled on a really great home to flip with a significant potential for returns, you have also found yourself a hard money lender in Beaufort that is prepared to fund your fix and flip ventures. Submit the contact form on this page or get in touch with us via phone to talk about your project.