Hard Money Loans in Greenville
An outstanding deal on a fix and flip property located in a very good subdivision suddenly turns up — seems so good that it's hard to believe. Expert residential home flippers, much like the young married couple on Flip or Flop, HGTV's reality flipping program, are capable of generating a gain of forty to fifty grand for the majority of homes. Of course, you also are aware that their results can be attributed to the simple fact that they are industry experts, are well versed in hard money loans, they understand market trends really well and additionally, they are good at working a public auction for getting a good deal. However, you're certain that your impressive rehab and remodeling abilities will enable you to do an outstanding job on this home — what's more, you already have arranged to have one of the finest general contractors in the area to handle the job.
But where can you get the necessary funding for flipping? A conventional lending institution, like for example a bank, takes at a minimum one to two months to approve the mortgage and provide the cash. With all the home owners seeking a fast closing, that doesn't seem like a good option to you at all.
To add to it, banks have been tightening up their lending standards as of late, rendering it more tough for people to obtain a traditional home loan if their credit circumstances are not flawless or he does not possess a consistent salaried profession. So do you have to stop trying and abandon your ambition to venture off into the real estate market? By no means, especially while Greenville hard money loans can help you achieve great things in the real estate market.
A hard money home loan in Greenville can provide what is regarded as vital to most real estate deals — a fast closing of only a few weeks and at many times less. Furthermore, hard money lenders can do loans up to 70% LTV of the home value, as estimated by a credentialed third-party evaluation. Some individuals consider hard money real estate loans to be more costly than standard financing, considering interest rates for such loans ordinarily start out at 10%. But in reality, the rate of interest isn't as relevant for these loans, because they will never be long-term loans. Short-term loans of several months to a handful of years are best thought of in terms of cost of capital, the same as all other expenditures related to a project. Once you have turned the house and have made a positive return, you're able to recover this expense from the property — very much like recovering the cost of brand-new appliances for the kitchen that you have put in.
In addition, even a person with low credit can still be eligible for a hard money mortgage. Greenville hard money lenders don't authorize a loan solely judging by the customer's credit score — rather they also evaluate the property or home, where it is located and what it is worth, and the property's ability to pay back the loan by itself. Adding to that, if the applicant can demonstrate prior experience in equivalent real estate endeavors, can place down cash for a down payment, and the cost of equivalent homes in the vicinity works to his benefit, he has an excellent likelihood of being approved to obtain a hard money real estate loan.
So in case you have stumbled upon an excellent real estate opportunity with a high potential for returns, you've also stumbled upon a hard money lender in Greenville who's ready to provide financing for your rehab venture. Fill out the contact form or call us and let's talk about your property or properties.
A loan specialist will be in touch shortly