Hard Money Loans in Goose Creek
Imagine you've stumbled upon this excellent bargain for a fix and flip property you found in an ideal neighborhood, and you are either an experienced real estate investor or a newbie who is looking to try his hand at flipping. You've probably heard that veteran house flippers, such as the husband and wife on HGTV's Flip or Flop, turn an impressive average return close to $40,000 – $50,000. Of course, you also recognize that their successes can be attributed to the simple fact that they're professionals, are proficient in hard money loans, they understand the marketplace really well and additionally, they are good at working a public auction for getting an appropriate deal. Still, your rehab and renovation knowledge isn't bad either — besides, you've already found a suitable licensed contractor to handle the job.
But money is usually a separate issue entirely. When you apply for an ordinary loan from the bank, you will need to wait around roughly 1-2 months up until the money is approved and the funding is accessible. Given that sellers would rather have a fast closing, it may be best to start seeking out additional funding alternatives.
Furthermore, should you have a less-than-perfect credit rating or do not have a regular income, it is usually tougher for you to obtain a bank loan, seeing the tougher loan requirements banks have put in place as of late. So does that leave you with no other option, but to give up your dream of venturing into home renovating? Definitely not, because you also have the Goose Creek hard money loan option.
A hard money home loan in Goose Creek can provide what is deemed imperative to many real estate deals — a fast closing of just a few weeks and at many times less. Further, loan amounts are made up to 70% loan-to-value of the "as is" house value, as established by a licensed appraiser. Some individuals believe hard money real estate loans to be more expensive than regular financing, because the interest rates for such loans usually start out at 10%. But usually, the interest rate isn't as useful a measure for these loans, because they aren't long-term financing. Short-term loans of a couple of months to a handful of years are best looked at as cost of capital, the same as every other expense involved with a project. Right after you remodel and unload the house, recovering this expense is no different than recovering the expense for home appliances you put in the place.
What's more, it is simple to be eligible for a hard money mortgage, even if your credit score is not that extraordinary. Goose Creek hard money lenders do not take on a loan exclusively judging by the person's credit score — rather they also assess the property or home, its location and value, and the home's capability to pay back the financing on its own. Adding to that, if the individual can demonstrate prior experience in equivalent real estate projects, can place down money towards the down payment, and the value of equivalent properties in the area works to his benefit, he has a good likelihood of being approved for a hard money real estate loan.
If you happen to have found a really good home to flip with a huge probability of returns, you've also stumbled upon a hard money lender in Goose Creek who is ready to provide financing for your fix and flip ventures. Complete the form on this page or call us and let's talk about your property or properties.
A loan specialist will be in touch shortly