Hard Money Loans in Gilmer
Imagine you've stumbled upon this truly good 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 is looking to try out flipping houses. Many people know that expert professional flippers, along the lines of Tarek and Christina El Moussa who do HGTV's reality home flipping program, Fix or Flop, are able to turn a typical profit of forty to fifty thousand dollars on their home projects. And yes, they are aided in a big way as a result of their professional know-how, auction skills and knowledge of hard money loans. Having said that, you have recently been brushing up your rehab and renovation skills, have got a general contractor arranged and are confident that you can do an impressive job for this home.
But where can real estate investors get funding? When you apply for a regular loan via a bank, you will have to wait around somewhere around 30-60 days up until the mortgage loan is approved and the funds are ready. So if you are looking for a fast closing, it is important to realize that this will set you back by a couple of weeks, causing you to miss out on the opportunity.
As well as this, should you have a sub-optimal credit score or don't receive a conventional income source, it may be tougher to be eligible for a bank loan, with the tighter loan guidelines banks have issued as of late. So will a lack of funding prevent you from sticking with your aspirations? Certainly not, seeing as you always have the Gilmer hard money loan option.
A hard money home loan in Gilmer offers you what's deemed imperative to most real estate sales — a very fast closing of just a 2-3 weeks and at times even less. Furthermore, hard money lenders are capable of doing funding up to 70% LTV of the property's valuation, as established by a licensed third-party evaluation. At first glance, hard money real estate loans, with starting lending rates of 10%, appear to be higher priced than bank financing. But if you appreciate that these are not long-term loans, the interest rate can be misleading. The cost of such short-term loans ought to be looked at on par with every other expense that you would have to meet for the project. When you have sold the house and have made a positive gain, you can get back this expense from the house — very much like recuperating the money necessary for the brand-new kitchen appliances that you installed.
In addition, even an individual with poor credit can easily qualify for a hard money mortgage. The customer's credit score will not be the single deciding factor for Gilmer hard money lenders — in addition, they consider the property, its market value, its location, and its capability to bring back their investment if everything does not go as intended. How much money an individual can put upfront towards the house, how much experience he has in real estate investments, and price range of comparable properties in the neighborhood are various other details that go into determining a person's qualification for a hard money real estate loan.
Locating a hard money lender in Gilmer to cover expenses for your real estate project is not very hard, provided that the opportunity that lies before you is promising and offers a strong prospect for returns. Complete the form on this page or call us to talk about your property or properties.
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