Hard Money Loans in Bellport
An outstanding deal on a fix and flip property in a nice subdivision shows up out of the blue — seems too good to be true. Expert house flippers, like the young couple on Flip or Flop, HGTV's reality flipping program, are able to earn a profit of $40-$50k on most projects. And without a doubt, they are aided in a major way due to their professional experience, auction abilities and familiarity with hard money loans. Nonetheless, your rehab and remodeling knowledge isn't bad either — besides, you have already located the right licensed contractor to tackle this job.
But where can you get the needed funding for flipping? A standard lender, say for example a bank, takes at least 1-2 months to consent to the financing and provide the cash. Considering that all the home owners want a fast closing, that doesn't appear like a great idea to you at all.
With banks adding tougher loan standards in the last few years, it is much harder for a self-employed individual to obtain a mortgage loan, especially when his credit situation is not flawless. So will a shortage of funds stop you from following your aspirations? Certainly not, given that you also have the Bellport hard money loan option.
If you should obtain a hard money home loan in Bellport, you're going to get what's perhaps most important to real estate purchases across the country — a quick closing of roughly a couple weeks. Additionally, loans can be done for up to 70% loan-to-value of the "as is" house's valuation, as calculated by a professional appraiser. At first, hard money real estate loans, with starting lending rates of 10%, appear to be costlier than bank lending options. But in reality, the lending rate isn't as useful a measure for these loans, simply because they are not long-term loans. The price of such short-term loans should be evaluated on par with every other expenditure that you might encounter in the course of the project. Right after you rehab and sell the property, recuperating this expense is no different than recovering the expense for new kitchen appliances you put in the place.
In addition, even individuals with low credit can still qualify for a hard money mortgage. Bellport hard money lenders do not take on a loan strictly according to the borrower's credit score — instead they also examine the property, where it is located and what it is worth, and the property's capacity to pay back the loan by itself. On top of that, if the person can demonstrate past experience in similar real estate projects, can place down money towards the down payment, and the cost of comparable houses in the neighborhood works in his favor, he stands a good likelihood of qualifying for a hard money real estate loan.
So should you run into an outstanding and worthwhile investment opportunity, rest assured you'll have a hard money lender in Bellport, in a position to lend you the funds you'll need. Enter your info into the contact form on this page or call us to discuss the property or properties you have in mind.
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