Hard Money Loans in Greeley
There is this outstanding possibility for rehabbing and flipping this nice out of date house in a good location and it looks a lot like the deal you have been wanting for quite a while. You may have heard that professional house flippers, such as the married couple on HGTV's Flip or Flop, turn an impressive average profit margin close to forty to fifty thousand dollars. Undoubtedly, you also recognize that their successes can be attributed to the fact that they are professionals, are well versed in hard money loans, they understand the market really well and furthermore, they know how to work an auction to purchase their homes at a reasonable price. However, you are certain that your first class rehab and renovation skills will help you do a quality job on this house — furthermore, you already have lined up one of the most suggested building contractors in town to take on this job.
But funding can be a different problem entirely. When you opt for a traditional loan from the bank, you will wind up waiting around approximately 4-8 weeks up until the time the mortgage is approved and your money is available. So if you happen to be wishing for a fast closing, you need to be aware that this may set you back by a couple of weeks, causing you to lose out on the house.
On top of this, banks have been tightening up their lending criteria in recent times, rendering it more challenging for a person to get a regular loan if their credit rating is not perfect or he does not possess a consistent salaried profession. So do you have to stop trying and forego your ambition to get into fix and flips? Not at all, particularly while Greeley hard money loans enable you to accomplish great things in the real estate world.
If you obtain a hard money home loan in Greeley, you have access to what is probably most important to real estate negotiations across the country — a quick closing of roughly fourteen days. Further, loans can be made up to 70% loan-to-value of the "as is" value, as calculated by a professional appraiser. At first, hard money real estate loans, with starting interest rates of 10%, could be seen as higher in price than bank lending products. But if you appreciate that these loans are not long-term loans, the interest rate tends to be misleading. As it pertains to short-term loans of several years or even less, you should consider them the same as you might for every other expenditure for the project. And when you've sold the property or home, recovering this expense is comparable to recuperating the expense for all the bathroom upgrades you did.
Additionally, it's easy to be eligible for a hard money mortgage, regardless if your credit situation is not that impressive. The borrower's credit score is not the sole deciding factor for Greeley hard money lenders — in addition, they examine the piece of real estate, what is it valued at, where it is located, and its potential to return their investment if things do not work out as intended. Other variables that influence a borrower's approval for a hard money real estate loan can include what amount of money he is in a position to put towards a down payment, his previous experience as a real estate investor, and price range of comparative, fairly recently sold homes in the area.
So if you have found a wonderful home to flip with a huge potential for returns, you've also found yourself a hard money lender in Greeley that's willing to finance your flipping ventures. Fill out the contact form on this page or give us a call and let's talk about the property or properties you have in mind.
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