Hard Money Loans in Calera

An outstanding buy on a fix and flip property in a very good neighborhood all of a sudden shows up — sounds so good that it's difficult to believe. You may have heard that veteran property flippers, similar to the married couple on HGTV's Flip or Flop, turn a remarkable average return of around $40,000 – $50,000. Undoubtedly, you also know that their great results are credited to the simple fact that they are industry experts, are proficient in hard money loans, they know market trends quite well and they also are good at working a public auction to buy their properties at an appropriate deal. Nevertheless, you're certain that your first class rehab and renovation talents will assist you to do a great job on the property — additionally, you have already lined up one of the finest contractors in town to work on the project.

But money is often a separate issue entirely. When you apply for a traditional bank loan, you will wind up waiting roughly 1-2 months before the mortgage is approved and your funds are ready. So if you're hoping for a fast closing, you need to realize that this will set you back by weeks, causing you to miss out on the opportunity.

With banks adding harder loan requirements in the past several years, it has become more challenging for a self-employed person to obtain a mortgage loan, especially if his credit situation is not flawless. So will inadequate funding keep you from pursuing your aspirations? By no means, due to the fact you can always go the hard money loan route to pay for your home renovating project.

A hard money home loan in can provide what is deemed crucial to most real estate deals — a quick closing of only a few weeks and at many times less. And additionally, loans are made up to 70% loan-to-value of the as-is house's valuation, as deemed by a qualified appraiser. With loan rates starting out around 10%, hard money real estate loans might appear, at first, to be higher in price in comparison with traditional bank financing. But when you consider these loans are not long-term mortgage loans, the rate can be misleading. When it comes to short-term loans of one or two years or less, you should look at them the same as you might for any other expenditure for the project. After you rehab and sell off the house, recuperating this expense is no different than recuperating the one for home appliances you placed into the place.

Besides, hard money mortgages are easy qualifying, whether or not you posses below-average credit. Rather than focusing exclusively on the borrower's credit score or net income, hard money lenders, who may be a private company or an individual person, approve a loan as a result of assessing the property value, ease of marketability, its location, and the likelihood of recuperating their capital in case they have to foreclose the loan. How much of their own money a person can put down in advance towards the property, his past real estate experience, and price range of equivalent properties in the area are other factors that go into determining an individual's suitability for a hard money real estate loan.

So if you have stumbled upon a wonderful fixer-upper with a huge prospect of returns, you've also stumbled upon a hard money lender in who is ready to provide financing for your flipping projects. Submit the contact form or call us and let's discuss your property or properties.

Request More Information

A loan specialist will be in touch shortly

Personal Info

Project Info

Investment property loans only please, no primary residences at this time.