Hard Money Loans in Clemson
Suppose that you've run into this excellent bargain on a fix and flip property you found in a great location, and you're either a skilled real estate investor or a first-timer who hopes to try his hand at flipping. A majority of people know that capable professional flippers, such as Tarek and Christina El Moussa from HGTV's reality flipping program, Fix or Flop, can readily turn a typical profit margin of forty to fifty thousand dollars on their flips. Undoubtedly, you also realize that their success can be attributed to the simple fact that they're professionals, are knowledgeable in hard money loans, they understand market trends quite well and they also know how to work a public auction for getting a good deal. That said, you have recently been brushing up your rehab and renovation knowledge, have a licensed contractor ready for the project and are positive that you can do a bang up job on this property.
But how can real estate investors obtain capital? A standard lender, for instance a bank, takes at the very least 1-2 months to consent to the mortgage and provide the money. Given that home owners wish to have a fast closing, you might need to start searching for additional financing options.
To add to it, banks have been tightening their lending standards as of late, making it hard for people to obtain a traditional loan if their credit situation is not perfect or he doesn't have a consistent salaried profession. So will a lack of funding stop you from sticking with your dream? Absolutely not, because you always have the Clemson hard money loan option.
A hard money home loan in Clemson offers you what's deemed vital to many real estate sales — a very fast closing of just a couple of weeks and at times even less. Also, hard money lenders frequently agree to loans up to 70% LTV of the property value, as calculated by a credentialed third-party evaluator. With the rates starting off near 10%, hard money real estate loans might seem, at first, to be more pricey in comparison with conventional bank financing. But once you understand these loans are not long-term mortgage loans, the rate of interest tends to be misleading. The cost of such short-term loans should be considered on par with any other cost that you would have to meet pertaining to the project. After you renovate and resell the home, recouping this expense is just like recovering the expense for new kitchen appliances you installed in the home.
Apart from this, hard money mortgages are easy qualifying, whether or not you have got less-than-perfect credit. Instead of focusing only on the person's credit score or net income, Clemson hard money lenders, who could be a private company or an individual person, say yes to a loan after evaluating the home value, its marketability, its location, and the probability of getting back their capital if they have to foreclose the loan. Several other factors that influence a borrower's eligibility for a hard money real estate loan include the amount he is in a position to put into a down payment, his prior experience being a real estate investor, and selling price of comparable, just recently sold residences nearby.
Searching for a hard money lender in Clemson to finance your fix and flip endeavor is not hard, assuming that the opportunity in front of you is promising and possesses a good prospect for returns. Submit the form on this page or get in touch with us via phone and let's discuss the property you have in mind.
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