Hard Money Loans in East Brewton

A remarkable buy on a fix and flip property in a very good area of the city shows up out of the blue — sounds so good that it's difficult to believe. Expert home flippers, such as the young couple on Flip or Flop, HGTV's reality flipping series, are able to earn a gain of $40-$50k for the majority of homes. No need to explain that their rehabbing experience, knowledge of hard money loans, familiarity with the housing market, and auction skills have had a big part in their success. Still, your rehab and remodeling skills aren't bad either — aside from that, you have already found an ideal general contractor to handle the home.

But where can you obtain the necessary financing for home flipping? When you apply for a conventional bank loan, you will have to wait around approximately 30-60 days before the mortgage loan is authorized and the money is ready to go. So if you happen to be anticipating a fast closing, you need to be aware that this could set you back by weeks, causing you to lose out on the sale.

Moreover, for those who have a less-than-perfect credit situation or do not receive a routine income, it usually is tougher to be eligible for a bank financing, with the tougher loan guidelines banks have introduced as of late. So will inadequate financing keep you from sticking with your aspirations? Certainly not, on the grounds that you can always go the hard money loan route to pay for your flipping project.

A hard money home loan in provides what is viewed as imperative to most real estate transactions — a quick closing of just a few weeks and at times even less. What's more, the LTV value can range up to 70% of the home value, as evaluated by a certified appraiser. A number of people believe hard money real estate loans to be higher priced than ordinary loans, because the lending rates for such loans usually start off at 10%. But in reality, the rate of interest is not as relevant for these loans, because they are not long-term loans. The price tag on such short-term loans should be viewed on par with any other expense that you would have to meet for the project. After you rehab and resell the property, recouping this expense is the same as recovering the one for stainless steel appliances you installed in the place.

What's more, it is easy to be eligible for a a hard money mortgage, regardless of whether your credit rating is not that superb. The customer's credit score isn't the primary deciding factor for hard money lenders — additionally, they analyze the piece of real estate, what is it valued at, its location, and its potential to earn back their financial commitment if things do not work out as planned. On top of this, if the individual have proven experience in similar real estate ventures, can place down money for a down payment, and the price of comparative homes in the vicinity works in his favor, he has a very good likelihood of qualifying to obtain a hard money real estate loan.

So in the event you come across a really good and worthwhile investment opportunity, feel comfortable knowing you will have a hard money lender in , willing to lend you the capital you'll need. Fill out the contact form or get in touch with us via phone and let's talk about the project you have in mind.

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Investment property loans only please, no primary residences at this time.