Hard Money Loans in Garden City
Imagine you've run across this truly good deal on a fix and flip property located in a great location, and you happen to be either an experienced real estate investor or a first-timer who really wants to try his hand at flipping. You've heard that veteran house flippers, like the married couple on HGTV's Flip or Flop, turn a remarkable average profit close to $40,000 – $50,000. And indeed, they are helped in a major way as a result of their professional experience, auction skills and knowledge of hard money loans. On the other hand, you are assured that your first class rehab and remodeling talents will enable you to do an outstanding job for this house — furthermore, you already have arranged to have one of the premier building contractors in the area to work on this job.
But capital can be a separate question entirely. A conventional lender, say for example a bank, takes at the very least one to two months to approve the loan and release the monies. Considering that all the home owners are looking for a fast closing, that doesn't appear to be a good idea to you at all.
On top of this, banks have been tightening up their lending criteria as of late, making it hard for someone to obtain a typical loan if their credit circumstances are not flawless or he does not have a consistent salaried profession. So does that leave you with no other option, but to give up your ambition of getting into rehabbing? Under no circumstances, particularly when Garden City hard money loans can help you achieve many amazing things in real estate.
A hard money home loan in Garden City provides you with what's possibly most essential to real estate investors — a very fast closing time period of as few as a few weeks. Plus, the LTV value can range up to 70% of the home value, as determined by a certified appraiser. With the loan rates starting at about 10%, hard money real estate loans may appear, at first glance, to be more costly compared to conventional bank lending products. But when you understand these are not long-term loans, the rate of interest tends to be misleading. As it pertains to short-term loans of one or two years or less, you should consider them much like you would other expenditures for the project. Right after you rehab and sell the property, recovering this expense is just like recouping the cost of the home appliances you put in the house.
Aside from that, hard money mortgages are easy qualifying, even if you have poor credit. As an alternative for focusing strictly on the applicant's credit score or wages, Garden City hard money lenders, who could be a privately owned company or an individual person, authorize a loan after assessing the property value, its marketability, where it is located, and the likelihood of recuperating their capital if they have to foreclose the loan. On top of that, if the person can demonstrate prior experience in comparable real estate ventures, can put down money towards the down payment, and the value of comparable homes in the vicinity works in his favor, he has an excellent shot of being approved for a hard money real estate loan.
Locating a hard money lender in Garden City to cover expenses for your fix and flip endeavor is not very hard, assuming that the opportunity in front of you is promising and boasts a good prospect for returns. Complete the contact form or call us to talk about your property or properties.
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