Hard Money Loans in Bixby
A fabulous bargain on a fix and flip property located in a good neighborhood suddenly turns up — seems so good that it is difficult to believe. Expert home flippers, like the young married couple on Flip or Flop, HGTV's reality flipping program, are capable of bringing in a gain of $40-$50k on most projects. Without question, their rehabbing experience, understanding of hard money loans, familiarity with the market, and auction skills have played an important role in their successes. That said, you've likewise been cultivating your rehab and renovation knowledge, have a very good general contractor lined up and are confident that you will be able to do a bang up job on this house.
But money is often a different problem altogether. Should you go after a normal bank loan, you will have to wait somewhere around 1-2 months until the financing is approved and your funds are ready. Given that home owners wish to have a fast closing, you might want to start looking for additional financing options.
To add to it, banks have already been tightening their lending criteria in recent times, rendering it more challenging for a person to get a conventional home loan if their credit score is not flawless or he doesn't have a consistent salaried job. So will a lack of financing stop you from sticking to your dream? Never, considering that you could always use the Bixby hard money loan approach to pay for your home renovating project.
When you get a hard money home loan in Bixby, you're going to get what's probably most vital to real estate transactions across the country — a very fast closing of around 2 weeks. Furthermore, hard money lenders are able to do lending up to 70% LTV of the home value, as established by a licensed third-party evaluator. Some people believe hard money real estate loans to be costlier than customary loans, since the lending rates for these loans commonly start at 10%. But once you consider these are not long-term loans, the rate of interest may be misleading. Short-term loans of several months to a few years are best thought of as cost of capital, much like every other expenditure in connection with a project. When you have resold the home and have made a positive profit, you'll be able to reclaim this expense from the home — just like recuperating the money spent on the brand-new home appliances that you have put in.
Aside from that, hard money mortgages are easy qualifying, whether or not you have got a weak credit score. The person's credit score isn't the lone determining factor for Bixby hard money lenders — they also consider the property, its market value, its location, and its capacity to earn back their investment if things do not work out as intended. The amount that a person can put down beforehand for the property or home, his real estate experience, and price range of comparable properties in the same neighborhood are additional details that go into determining an individual's suitability for a hard money real estate loan.
So any time you run into an outstanding and worthwhile investment opportunity, relax knowing you'll have a hard money lender in Bixby, able to lend you the capital you need. Fill out the contact form on this page or call us and let's discuss your project.
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