Hard Money Loans in Cape Canaveral
There is this phenomenal possibility for renovating and flipping this wonderful outdated house in a fantastic location and it seems a lot like the deal you have been expecting for quite some time. Expert property flippers, similar to the young couple on Flip or Flop, HGTV's reality flipping program, are able to earn a gain of forty to fifty grand on the majority of projects. And yes, they are helped in a major way via their professional experience, auction expertise and understanding of hard money loans. Still, your rehab and remodeling skills aren't bad either — aside from that, you have already identified the right licensed contractor to start this job.
But how do you get the needed capital for home flipping? A standard lending institution, say for example a bank, takes at a minimum one to two months to authorize the financing and hand over the monies. With all the home owners seeking a fast closing, that doesn't appear like a good option to you whatsoever.
Furthermore, if you have an unfavorable credit rating or do not receive a routine source of income, it usually is more challenging for you to qualify for bank financing, with the tougher loan criteria banks have put in place recently. So will a lack of funding prevent you from sticking to your ambitions? Certainly not, because you could always use the Cape Canaveral, Florida hard money loan approach to fund your home renovating project.
A hard money home loan in Cape Canaveral provides you with what's probably most essential to real estate investors — a very fast closing time of as little as two weeks. What's more, the LTV value can reach up to 70% of the home value, as estimated by a credentialed appraiser. On the surface, hard money real estate loans, with starting interest rates of 10%, could be seen as more expensive than bank financing. But in reality, the rate of interest is not as relevant for these loans, since they aren't long-term loans. Short-term loans of a couple of months to a handful of years are best understood in terms of cost of capital, very much like every other expenditure involved with a project. After you rehab and resell the house, recouping this expense is just like recouping the money you spent for new kitchen appliances you placed into the property.
Also, it isn't difficult to be eligible for a hard money mortgage, even when your credit situation is not that impressive. Cape Canaveral hard money lenders do not approve a loan solely based on the applicant's credit score — rather they also look at the property, its location and value, and the property's ability to pay back the financing on its own. Additional factors that impact a person's approval for a hard money real estate loan include the amount he can put into a down payment, his former experience being a real estate investor, and selling price of comparative, recently sold residences in the neighborhood.
So any time you come across a very good and worthwhile flipping opportunity, feel comfortable knowing you'll have a hard money lender in Cape Canaveral, equipped to lend you the cash you will need. Enter your info into the form or call us to talk about the property or properties you have in mind.
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