Hard Money Loans in Destin
Suppose you've run into this really great deal on a fix and flip property located in a great location, and you happen to be either a skilled real estate investor or a newbie who wants to try his hand at flipping. Professional house flippers, such as the young married couple on Flip or Flop, HGTV's reality flipping series, are capable of earning a profit of forty to fifty grand on a consistent basis. Without question, their past experiences rehabbing, understanding of hard money loans, familiarity with the housing market, and auction talents have been major factors to their results. On the other hand, you are assured that your impressive rehab and remodeling talents will enable you to do an outstanding job on the property — furthermore, you already have arranged to have one of the best building contractors in the business to take care of this job.
But where can real estate investors obtain funding? A typical lender, say for example a bank, takes at least 1 to 2 months to consent to the financing and deliver the monies. So if you happen to be hoping for a fast closing, you have to understand that this will set you back by a few weeks, causing you to miss out on the sale.
Furthermore, in case you have a sub-optimal credit score or don't receive a consistent income source, it may be more challenging to obtain bank financing, with the more stringent loan requirements banks have issued as of late. So will a shortage of funds prevent you from sticking to your ambitions? Never, because you could always go the Destin, Florida hard money loan route to finance your rehab project.
If you put in an application for a hard money home loan in Destin, you have access to what is perhaps most essential to real estate offers across the country — a quick closing of around fourteen days. Additionally, financing can be done for up to 70% loan-to-value of the "as is" home's valuation, as established by a qualified appraiser. At first glance, hard money real estate loans, with starting interest rates of 10%, could be seen as costlier than bank loans. But the time frames of these loans are comparatively short, which makes the rate much less important. When it comes to short-term loans of 1 or 2 years or even less, you should consider them the same as you would for every other expense for your project. Right after you renovate and sell off the home, recovering this expense is just like recouping the money you spent for new kitchen appliances you put in the home.
Furthermore, even an individual with low credit can easily be eligible for a hard money mortgage. The person's credit score isn't the sole deciding factor for Destin hard money lenders — they also consider the home, how much it is worth, where it is located, and its potential to return their financial commitment if things do not work out as intended. On top of that, if the applicant have proven experience in similar real estate ventures, can place down money for the down payment, and the value of comparable properties in the vicinity works to his benefit, he will have a very good likelihood of being approved for a hard money real estate loan.
So should you come across a good and worthwhile flipping opportunity, relax knowing you'll have a hard money lender in Destin, able to lend you the funds that you need. Submit the form or call us to discuss your property.
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