Hard Money Loans in Doraville
An incredible buy on a fix and flip opportunity in an excellent area of the city all of a sudden shows up — sounds so good that it's hard to believe. Professional property flippers, similar to the young couple on Flip or Flop, HGTV's reality flipping show, are able to bring in a profit of $40-$50k on a consistent basis. Without question, their rehabbing experience, understanding of hard money loans, expertise in their housing market, and auction skills have played an important role in their success. Nonetheless, your rehab and renovation skills aren't bad either — aside from that, you've already located a suitable contractor to take on the project.
But where can real estate investors get financing? A typical lender, like for example a bank, takes at least 1 to 2 months to authorize the mortgage and hand over the capital. Since the majority of home owners favor a fast closing, you might want to begin searching for some other financing alternatives.
On top of this, banks have been tightening up their lending criteria as of late, which makes it challenging for someone to obtain an ordinary loan if their credit score is not perfect or he does not possess a regular salaried occupation. So does that mean you are without an option, but to drop your ambition to venture into the fix and flip business? By no means, considering that you can always use the Doraville hard money loan approach to pay for your flipping project.
A hard money home loan in Doraville provides what is considered crucial to many real estate deals — a quick closing of only a couple of weeks and at times less. Further, loans are made up to 70% loan-to-value of the "as is" property value, as determined by a licensed appraiser. With loan rates starting around 10%, hard money real estate loans may look, initially, to be higher in price compared to traditional bank loans. But if you appreciate that these loans are not long-term loans, the interest rate can be misleading. When it comes to short-term loans of a few years or even less, you should consider them just like you would other expenses for the project. And once you've turned the property or home, recovering this expense is comparable to recuperating the expense for the bathroom or other improvements you did.
In addition, even someone with weak credit can easily be eligible for a hard money mortgage. Doraville hard money lenders don't take on a loan strictly based on the applicant's credit score — rather they additionally evaluate the property or home, its location and value, and the home's ability to pay back the loan by itself. The amount that a person can put down in advance towards the property or home, how much experience he has in real estate investments, and selling price of equivalent properties in the neighborhood are other details that go into ascertaining an applicant's qualification for a hard money real estate loan.
Searching for a hard money lender in Doraville to fund your real estate project is not very challenging, assuming that the opportunity before you is promising and boasts a good potential for returns. Fill out the form or get in touch with us via phone to discuss the property or properties you have in mind.
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