Hard Money Loans in Fulton
Imagine you've run across this really great bargain on a fix and flip property located in an ideal neighborhood, and you are either a seasoned real estate investor or a newbie who wants to try out flipping homes. Expert home flippers, similar to the young couple on Flip or Flop, HGTV's reality flipping series, are able to haul in a gain of $40-$50k on a regular basis. Undoubtedly, you also realize that their great results are credited to the simple fact that they're industry experts, are proficient in hard money loans, they know market trends really well and additionally, they know how to work an auction to buy their properties at an appropriate price. On the other hand, you are convinced that your first class rehab and renovation skills will help you do an outstanding job on the property — additionally, you have already arranged to have one of the most sought after general contractors in the business to take on this job.
But how do real estate investors find funds? Should you get in touch with a common lender, like a bank for a mortgage loan, it's more than likely going to take a minimum of 30-60 days for the acceptance to be completed and your money to be dispersed. Considering that the sellers want a fast closing, that does not appear like a good option to you in the slightest.
Furthermore, should you have an unfavorable credit rating or do not receive a conventional income, it may be more challenging for you to be eligible for a bank financing, considering the tougher loan requirements banks have issued lately. So must you stop trying and forego your aspiration to get into fix and flips? Most certainly not, given that you always have the Fulton hard money loan option.
A hard money home loan in Fulton provides you with what is probably most important to real estate investors — a very fast closing time period of as few as two weeks. What's more, the LTV value can reach up to 70% of the property value, as estimated by a competent appraiser. A number of people believe hard money real estate loans to be more pricey than regular financing, since the interest rates of such loans usually start at 10%. But once you consider these are not long-term mortgage loans, the interest rate may be misleading. As it pertains to short-term loans of a few years or less, you should look at them identical to any other expense for your project. Once you have resold the house and have made a successful profit, you're able to recover this expense from the property or home — just like recouping the cost of brand-new home appliances that you've put in.
Furthermore, even a person with bad credit can still be eligible for a hard money mortgage. The applicant's credit score will not be the primary determining factor for Fulton hard money lenders — they also evaluate the piece of real estate, its market valuation, its location, and its potential to earn back their investment if things do not go as planned. Additional factors that have an impact on an applicant's eligibility for a hard money real estate loan can include the amount he can put towards a down payment, his prior experience as a real estate investor, and price of comparable, just recently sold homes in the vicinity.
So in case you have found a wonderful home to flip with a high probability of returns, you've also stumbled upon a hard money lender in Fulton that is ready to finance your rehab projects. Complete the form on this page or get in touch with us via phone to discuss the property or properties you have in mind.
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