Hard Money Loans in Grand Blanc
Suppose that you've run across this truly good bargain on a fix and flip property in a great location, and you're either an experienced real estate investor or a newbie who hopes to try his hand at flipping. You may have heard that professional home flippers, much like the husband and wife on HGTV's Flip or Flop, turn an impressive average return near forty to fifty thousand dollars. And sure, they are aided in a major way as a result of their professional experience, auction abilities and familiarity with hard money loans. Still, your rehab and remodeling knowledge isn't that bad either — in any case, you've already identified the right licensed contractor to start this home.
But capital is often a separate issue entirely. When you get in touch with a regular lender, much like a bank for a loan, it's in all likelihood going to take no less than thirty to sixty days for your acceptance to come through and the funds to be sent out. With the home owners looking for a fast closing, that doesn't seem like a good idea to you in the slightest.
To add to it, banks have been tightening up their lending requirements in recent times, making it challenging for someone to obtain an ordinary loan if their credit rating is not perfect or he does not have a consistent salaried profession. So will a lack of funding prevent you from sticking to your dream? Under no circumstances, particularly when Grand Blanc hard money loans will assist you to accomplish many amazing things in the real estate world.
A hard money home loan in Grand Blanc provides what's possibly most crucial to real estate investors — a fast closing in as little as 14 days. Plus, the LTV value can reach up to 70% of the property value, as estimated by a certified appraiser. A number of people consider hard money real estate loans to be higher priced than ordinary loans, since the interest rates of such loans ordinarily start out at 10%. But in reality, the lending rate is not as relevant for these loans, since they aren't long-term financing. The price tag on such short-term loans ought to be viewed on par with any other expense that you will encounter during the project. And when you have turned the house, recouping this expense is comparable to recouping the expense for the bathroom or other improvements you did.
Aside from that, hard money mortgages are not difficult to qualify for, even in the event you have below-average credit. As an alternative for focusing only on the borrower's credit score or income, Grand Blanc hard money lenders, who can be a private company or an individual, approve a loan after analyzing the home value, its salability, its location, and the odds of recouping their money in the event of foreclosure. Adding to that, if the borrower can demonstrate past experience in similar real estate ventures, can place down cash for the down payment, and the price of similar homes in the neighborhood works to his benefit, he will have a very good likelihood of being approved to obtain a hard money real estate loan.
If you happen to have stumbled on an excellent real estate opportunity with a high potential for returns, you've also discovered a hard money lender in Grand Blanc that is happy to fund your rehab projects. Submit the form or get in touch with us via phone and let's talk about your project.
A loan specialist will be in touch shortly