Hard Money Loans in Canton
You discovered this outstanding possibility for rehabbing and flipping this wonderful old property in a fantastic location and it looks like the deal you've been expecting for a long time. Everybody knows that capable professional flippers, like Tarek and Christina El Moussa from HGTV's reality home flipping program, Fix or Flop, can turn a typical profit margin of $40,000 to $50,000 in their rehab business. Of course, you also understand that their results are credited to the fact that they're professionals, are proficient in hard money loans, they know market trends really well and additionally, they know how to work an auction for getting a reasonable price. Nevertheless, you are assured that your superb rehab and renovation knowledge can help you do a quality job on the property — furthermore, you already have lined up one of the most suggested contractors in town to work on this job.
But money is a separate issue altogether. A standard lending institution, say for example a bank, takes at least 1-2 months to consent to the loan and release the money. With the sellers wanting a fast closing, that doesn't appear like a good option to you whatsoever.
What's more, in case you have an unfavorable credit score or do not receive a routine source of income, it may be more difficult for you to obtain bank financing, considering the tighter loan requirements banks have issued lately. So will inadequate funding keep you from following your dream? Certainly not, because you always have the Canton hard money loan alternative.
A hard money home loan in Canton provides you with what's possibly most desired by real estate investors — a fast closing time of as little as fourteen days. Aside from that, loans are made up to 70% loan-to-value of the as-is property's valuation, as deemed by a professional appraiser. Some people believe hard money real estate loans to be more pricey than standard financing, because the lending rates for such loans typically start at 10%. But usually, the interest rate is not as relevant for these loans, simply because they aren't long-term loans. The price tag on such short-term loans should be looked at much like any other expenditure that you will encounter in the course of the project. When you have resold the property or home and have made a successful return, you're able to get back this expense from the property or home — just like recuperating the money spent on the brand-new appliances for the kitchen that you installed.
Aside from that, hard money mortgages are not hard to qualify for, whether or not you have a low credit rating. Canton hard money lenders don't take on a loan strictly on the basis of the applicant's credit score — instead they will assess the home, where it is located and what it is worth, and the home's capacity to pay back the financing without the help of the person. Adding to that, if the applicant can demonstrate past experience in similar real estate projects, can place down money for the down payment, and the cost of equivalent houses in the neighborhood works in his favor, he stands a really good chance of being approved to obtain a hard money real estate loan.
So in the event you run into a very good and lucrative investment opportunity, be assured you'll have a hard money lender in Canton, ready to loan you the capital you may need. Fill out the form on this page or call us and let's talk about your project.
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