Hard Money Loans in East Liverpool
A remarkable buy on a fix and flip opportunity in a very good area of the city suddenly turns up — sounds so good that it is difficult to believe. You may have heard that professional property flippers, much like the husband and wife on HGTV's Flip or Flop, have a remarkable average return of around $40,000 – $50,000. And without a doubt, they are aided in a big way as a result of their professional experience, auction abilities and knowledge of hard money loans. Nevertheless, you're assured that your impressive rehab and renovation skills will help you do a great job on the project — furthermore, you already have arranged to have one of the most suggested building contractors in town to take care of the job.
But where do you find the necessary capital for home flipping? A conventional lending institution, like for example a bank, takes at a minimum 1-2 months to consent to the mortgage and deliver the funds. With all the sellers looking for a fast closing, that does not appear to be a good idea to you whatsoever.
On top of this, banks have already been tightening up their lending requirements in recent times, rendering it more difficult for a person to get an ordinary home loan if their credit circumstances are not perfect or he is lacking a regular salaried job. So must you admit defeat and forego your ambition to get into real estate? Absolutely not, seeing as you always have the East Liverpool hard money loan option.
If you opt for a hard money home loan in East Liverpool, you're going to get what's probably most important to real estate transactions throughout the country — a very fast closing of approximately 2 weeks. In addition, the LTV value can go up to 70% of the place's valuation, as estimated by a certified appraiser. With the rates starting out around 10%, hard money real estate loans may seem, at first, to be more costly in comparison with traditional bank lending products. But once you appreciate that these loans are not long-term mortgage loans, the rate can be misleading. The price of such short-term loans ought to be considered much like every other expense that you would need to meet pertaining to the project. After you rehab and sell off the house, recovering this expense is the same as recouping the cost of the home appliances you installed in the house.
What's more, it isn't difficult to be eligible for a a hard money mortgage, even if your credit rating is not that superb. Rather than focusing only on the person's credit score or source of income, East Liverpool hard money lenders, who may be a privately owned company or an individual, approve a loan after evaluating the home value, ease of marketability, where it is located, and the likelihood of getting back their capital if they have to foreclose the loan. Additional criteria that influence a person's approval for a hard money real estate loan include the amount he is in a position to put into a down payment, his previous experience being a real estate investor, and selling price of comparable, recently sold homes in the area.
So if you have stumbled upon a really great home to flip with a high prospect of returns, you have also found yourself a hard money lender in East Liverpool that's ready to provide funding for your rehab venture. Submit the form on this page or call us and let's discuss your project.
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