Hard Money Loans in Camden
Suppose you've run across this truly good deal for a fix and flip property you found in an ideal neighborhood, and you're either an experienced real estate investor or a first-timer who hopes to try his hand at flipping. Professional property flippers, such as the young couple on Flip or Flop, HGTV's reality flipping show, are able to bring in a gain of $40-$50k on the majority of projects. Without question, their rehabbing experience, understanding of hard money loans, expertise in their housing market, and auction skills have been large factors to their success. That said, you've likewise been brushing up your rehab and renovation skills, have a contractor arranged and are certain that you can do a stellar job on this property.
But how can you obtain the necessary financing for flipping? For those who go after a normal loan from the bank, you will wind up waiting approximately 1 to 2 months up until the mortgage loan is approved and your money is ready. Because most home owners prefer a fast closing, you may want to begin looking for some other funding alternatives.
With banks adding harder loan standards in the past few years, it's become more challenging for a self-employed individual to find a home loan, especially if his credit circumstances are not perfect. So will a lack of funds prevent you from following your dream? Not at all, especially when Camden hard money loans can help you accomplish great things in the real estate world.
When you obtain a hard money home loan in Camden, you will get what's probably most vital to real estate transactions across the country — a very fast closing of about 2 weeks. Furthermore, hard money lenders are able to do lending up to 70% LTV of the property's valuation, as established by a certified third-party evaluator. At first glance, hard money real estate loans, with starting lending rates of 10%, seem to be more expensive than bank financing. But the lengths of these loans are fairly short, which means the rate is less important. The price of such short-term loans should be viewed much like every other financial outlay that you would encounter during the project. Right after you renovate and sell off the property, recovering this expense is the same as recovering the cost of the stainless steel appliances you installed in the home.
Besides, hard money mortgages are not difficult to qualify for, even if you posses a weak credit score. Camden hard money lenders do not authorize a loan strictly based on the customer's credit score — rather they will evaluate the home, its valuation and location, and the property's capability to pay back the loan without the assistance of the person. How much an individual can put upfront for the home, how much practical experience he has in real estate investments, and price range of equivalent properties in the neighborhood are various other details that go into determining a borrower's suitability for a hard money real estate loan.
If you happen to have stumbled upon a wonderful real estate opportunity with a significant potential for returns, you've also found yourself a hard money lender in Camden who is happy to finance your rehab venture. Enter your info into the form on this page or call us and let's talk about your project.
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