Hard Money Loans in Grantville
You discovered this outstanding opportunity to rehab and flip this wonderful old condo in a very good area and it looks a lot like the deal you have been expecting for quite some time. Many people know that knowledgeable professional flippers, like Tarek and Christina El Moussa who do HGTV's reality flipping show, Fix or Flop, are able to make a typical profit of $40,000 to $50,000 on their home projects. Without question, their rehabbing experience, knowledge of hard money loans, familiarity with the housing market, and auction skills have had an important role in their successes. That said, you have likewise been brushing up your rehab and renovation skills, have a very good contractor arranged and are positive that you will be able to do a bang up job on this house.
But how do you obtain the necessary capital for home flipping? When you meet with a customary lending institution, such as a bank for a mortgage loan, it more than likely will take, as a minimum, 4-8 weeks for the approval to come through and the money to be sent out. Because most sellers prefer a fast closing, you may want to begin seeking out additional funding options.
Furthermore, if you have an unfavorable credit rating or don't have a routine income source, it may be harder for you to qualify for a bank loan, seeing the tougher loan requirements banks have put in place recently. So will a lack of financing prevent you from following your aspirations? Under no circumstances, particularly when Grantville hard money loans enable you to realize great things in the real estate market.
A hard money home loan in Grantville promises what's probably most essential to real estate investors — a fast closing in as few as a few weeks. What's more, the LTV value can range up to 70% of the home value, as estimated by a competent appraiser. A number of people believe hard money real estate loans to be more expensive than ordinary loans, because the interest rates for such loans often start out at 10%. But the term lengths for these loans are fairly short, which means the interest rate is much less significant. The cost of such short-term loans should be looked at on par with every other financial outlay that you will encounter in the course of the project. After you rehab and sell off the house, recouping this expense is no different than recovering the cost of the new kitchen appliances you placed into the home.
Also, it's easy to be eligible for a hard money mortgage, even when your credit situation is not that great. Rather than focusing entirely on the person's credit score or net income, Grantville hard money lenders, who could be a private company or an individual person, say yes to a loan as a result of examining the home value, its marketability, its location, and the possibility of recuperating their capital in case they have to foreclose the loan. Other criteria that impact a person's approval for a hard money real estate loan can include the amount he is able to put into a down payment, his former experience being a real estate investor, and price of comparable, fairly recently sold properties in the vicinity.
So any time you come across a very good and lucrative flipping opportunity, be assured you'll have a hard money lender in Grantville, able to loan you the capital you need. Fill out the form or give us a call to discuss the property or properties you have in mind.
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