Hard Money Loans in Flint
Suppose that you've stumbled upon this excellent deal on a fix and flip property in a great location, and you are either a skilled real estate investor or a first-timer who is looking to try out flipping houses. Most folks know that expert professional flippers, such as Tarek and Christina El Moussa who do HGTV's reality flipping program, Fix or Flop, can readily turn a typical profit of $40,000 to $50,000 when they flip properties. Without question, their past experiences rehabbing, knowledge of hard money loans, expertise in their housing market, and auction skills have had a big part in their successes. Nonetheless, your rehab and renovation knowledge isn't that bad either — in any case, you have already found a good building contractor to tackle the home.
But financing is often a different question altogether. If you meet with a regular lending institution, much like a bank for financing, it's very likely going to take, at a minimum, 30-60 days for the acceptance to come through and your money to be distributed. So if you are hoping for a fast closing, you need to recognize that this could set you back by a couple of weeks, causing you to miss out on the home.
With banks adding tougher loan requirements in the recent past, it is now tougher for a self-employed individual to find a home loan, especially when his credit score is not optimal. So will inadequate funds keep you from following your dream? Absolutely not, seeing as you always have the Flint hard money loan alternative.
A hard money home loan in Flint offers what is viewed as imperative to many real estate deals — a quick closing of just a few weeks and at many times even less. In addition, the LTV value can range up to 70% of the home value, as estimated by a certified appraiser. At first glance, hard money real estate loans, with starting interest rates of 10%, appear to be higher in price than bank lending products. But the lengths of these loans tend to be comparatively short, which makes the rate much less important. As it pertains to short-term loans of several years or less, you should think of them the same as you might for every other expenditure for the project. And once you've turned the property, recouping this expense is comparable to recovering the expense for the kitchen and bath updates you performed.
Moreover, even a person with bad credit can still be eligible for a hard money mortgage. Flint hard money lenders don't approve a loan exclusively based on the customer's credit score — rather they additionally look at the property or home, its valuation and location, and the property's capacity to pay back the loan by itself. The total amount that an individual can put upfront towards the house, how much experience he has in real estate investing, and selling price of comparable homes in the same neighborhood are additional factors that go into establishing an applicant's qualification for a hard money real estate loan.
So should you come across a good and lucrative investment opportunity, be assured you will have a hard money lender in Flint, prepared to loan you the money that you need. Fill out the form on this page or call us to talk about your property.
A loan specialist will be in touch shortly