Hard Money Loans in Clyde
There is this amazing opportunity to rehab and flip this wonderful old home in a very good part of town and it seems like the deal you have been anticipating for quite a while. Everybody knows that knowledgeable professional flippers, such as Tarek and Christina El Moussa who star in HGTV's reality flipping series, Fix or Flop, can readily earn an average profit of forty to fifty thousand dollars in their rehab business. Of course, you also realize that their success are credited to the simple fact that they are professionals, are knowledgeable in hard money loans, they understand the market quite well and they also know how to work an auction to buy their properties at a good price. On the other hand, you are certain that your impressive rehab and remodeling talents can help you do a superb job on the home — what's more, you already have arranged to have one of the best general contractors in the business to handle this project.
But money can be a different issue altogether. Should you meet with a customary lending institution, much like a bank for funding, it in all likelihood will take no less than thirty to sixty days for your approval to come through and the money to be furnished. Considering that the sellers want a fast closing, that doesn't appear to be a good idea to you in the slightest.
To add to it, banks have already been tightening their lending standards in recent times, making it difficult for someone to obtain a traditional home loan if their credit situation is not perfect or he does not have a regular salaried job. So should you stop trying and abandon your dream to get into real estate? Under no circumstances, particularly when Clyde hard money loans can help you accomplish many amazing things in real estate.
A hard money home loan in Clyde offers what is regarded as imperative to many real estate deals — a fast closing of only a couple of weeks and sometimes even less. Plus, the LTV value can go up to 70% of the home's valuation, as evaluated by a competent appraiser. At first, hard money real estate loans, with starting interest rates of 10%, appear to be higher in price than bank financing. But in reality, the lending rate isn't as useful a measure for these loans, given that they are not long-term loans. When it comes to short-term loans of one or two years or even less, you should look at them the same as you would for every other expenditure for the project. Right after you renovate and resell the home, recuperating this expense is the same as recuperating the cost of the home appliances you put in the property.
Besides, hard money mortgages are easy qualifying, even when you have got bad credit. Clyde hard money lenders do not approve a loan exclusively judging by the customer's credit score — instead they also evaluate the home, its valuation and location, and the property's ability to pay back the financing by itself. On top of that, if the applicant can demonstrate past experience in comparable real estate projects, can place down cash for a down payment, and the value of comparable houses in the neighborhood works to his benefit, he will have a really good shot of being approved to obtain a hard money real estate loan.
So should you run into a very good and lucrative flipping opportunity, feel comfortable knowing you will have a hard money lender in Clyde, ready to lend you the cash you'll need. Fill out the form or give us a call to talk about your project.
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