You discovered this phenomenal possibility for rehabbing and flipping this nice out of date property or home in a very good part of town and it seems like the one you have been looking forward to for a long time. A majority of people know that expert professional flippers, like Tarek and Christina El Moussa who do HGTV's reality home flipping program, Fix or Flop, are able to generate an average profit margin of $40,000 to $50,000 when they flip properties. It's fair to say their rehabbing experience, knowledge of hard money loans, familiarity with the market, and auction skills have played a significant role in their success. On the other hand, you are certain that your superb rehab and remodeling skills will help you do an outstanding job on the home — furthermore, you already have lined up one of the most recommended contractors in town to take on this job.

But money is a separate issue altogether. When you apply for a traditional loan via a bank, you will wind up waiting around somewhere around 4-8 weeks before the mortgage loan is approved and the funds are accessible. So if you happen to be anticipating a fast closing, you need to recognize that this will set you back by weeks, causing you to lose out on the home.

With banks adding more challenging loan requirements in recent times, it is tougher for a self-employed individual to obtain a home loan, especially when his credit situation is not flawless. So must you give up and forego your dream to get into real estate? By no means, considering that you could always go the hard money loan route to fund your home renovating project.

When you put in an application for a hard money home loan in , you're going to get what is possibly most important to real estate negotiations throughout the country — a fast closing of around 14 days. Furthermore, hard money lenders frequently agree to loans up to 70% LTV of the property or home value, as determined by a certified third-party appraiser. A number of people believe hard money real estate loans to be more pricey than regular loans, since the interest rates for these loans commonly start out at 10%. But the time frames of these loans tend to be much shorter, making the rate much less significant. As it pertains to short-term loans of a handful of years or less, you should look at them much like you would other expenditures for the project. Right after you rehab and sell the house, recouping this expense is just like recuperating the money you spent for new kitchen appliances you installed in the property.

Aside from that, hard money mortgages are easy qualifying, whether or not you have a low credit score. hard money lenders don't authorize a loan exclusively based on the customer's credit score — rather they also assess the home, its location and value, and the property's capacity to pay back the financing independent of the person. On top of that, if the borrower have proven experience in comparable real estate projects, can place down cash for a down payment, and the value of equivalent homes in the vicinity works in his favor, he will have a very good chance of being eligible for a hard money real estate loan.

So in case you have found a really good real estate opportunity with a high probability of returns, you have also discovered a hard money lender in who is happy to provide financing for your flipping ventures. Fill out the form or call us and let's talk about your property or properties.