Hard Money Loans in Blakely
Suppose you've run into this truly good bargain for a fix and flip property located in an ideal location, and you happen to be either a skilled real estate investor or a first-timer who wants to try his hand at flipping. Professional home flippers, like the young married couple on Flip or Flop, HGTV's reality flipping program, are capable of generating a gain of $40-$50k on average. And sure, they are helped in a big way by their professional know-how, auction abilities and familiarity with hard money loans. With that being said, you've likewise been developing your rehab and renovation knowledge, have a very good general contractor arranged and are positive that you can do a great job on this home.
But capital is a separate problem altogether. In the event you get in touch with a common lending institution, like a bank for a mortgage loan, it is in all likelihood going to take, as a minimum, 30-60 days for the approval to come through and the money to be accessible. Given that home owners would rather have a fast closing, you might need to begin searching for some other funding alternatives.
On top of this, banks have already been tightening up their lending standards as of late, making it hard for people to obtain a traditional loan if their credit score is not flawless or he is lacking a regular salaried profession. So will inadequate funds keep you from sticking to your ambitions? Certainly not, seeing as you always have the Blakely hard money loan alternative.
If you decide to get a hard money home loan in Blakely, you have access to what is possibly most vital to real estate negotiations throughout the country — a quick closing of about 14 days. Furthermore, hard money lenders are capable of doing lending up to 70% LTV of the property's valuation, as determined by a licensed third-party appraiser. Some people believe hard money real estate loans to be more expensive than customary loans, since the interest rates of such loans typically start out at 10%. But usually, the lending rate is not as relevant for these loans, simply because they will never be long-term loans. Short-term loans of a couple of months to a handful of years are best looked at as cost of capital, much like all other expenses in connection with a project. After you remodel and resell the home, recovering this expense is just like recuperating the cost of the new kitchen appliances you placed into the home.
Additionally, it is easy to qualify for a hard money mortgage, even if your credit score is not that superb. Blakely hard money lenders don't authorize a loan exclusively judging by the customer's credit score — rather they will evaluate the home, its location and value, and the home's capability to pay back the loan without the help of the applicant. On top of that, if the borrower can demonstrate past experience in comparable real estate ventures, can place down money towards a down payment, and the price of equivalent homes in the area works to his benefit, he has a very good shot of being eligible to obtain a hard money real estate loan.
So if you have stumbled upon a really great home to flip with a high probability of returns, you've also stumbled upon a hard money lender in Blakely that's willing to provide financing for your fix and flip projects. Enter your info into the contact form on this page or call us to discuss your property or properties.
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