Hard Money Loans in Ingram
Imagine you've run across this truly good deal for a fix and flip property in a terrific location, and you're either an experienced real estate investor or a first-timer who is looking to try out flipping homes. Expert home flippers, similar to the young couple on Flip or Flop, HGTV's reality flipping program, are capable of bringing in a gain of $40-$50k on average. And yes, they are helped in a major way due to their professional know-how, auction expertise and familiarity with hard money loans. Still, your rehab and renovation skills aren't that bad either — besides, you've already found an ideal licensed contractor to take on the job.
But how exactly do real estate investors get capital? A traditional lending institution, for instance a bank, takes at a minimum one to two months to consent to the mortgage and release the money. Given that home owners would prefer a fast closing, it may be advisable to start seeking out other financing options.
To add to it, banks have been tightening up their lending standards in recent times, making it tough for a person to get a conventional home loan if their credit score is not perfect or he does not have a regular salaried occupation. So does that leave you with no other option, but to give up your ambition of venturing into the fix and flip business? By no means, especially when Ingram hard money loans can help you achieve many amazing things in the real estate market.
A hard money home loan in Ingram gives you what is regarded as crucial to many real estate deals — a very fast closing of only a couple of weeks and more often than not less. Additionally, loans are made up to 70% loan-to-value of the "as is" value, as established by a qualified appraiser. With the loan rates starting around 10%, hard money real estate loans may look, at first glance, to be higher priced in comparison with conventional bank lending products. But when you consider these loans are not long-term home loans, the rate of interest may be misleading. As it pertains to short-term loans of one or two years or even less, you should think of them identical to any other expenditure for your project. Once you have sold the property or home and have made a successful profit, you can recover this expense from the property — much like recovering the cost of brand-new kitchen appliances that you've put in.
Apart from this, hard money mortgages are not difficult to qualify for, even when you posses bad credit. Instead of focusing solely on the person's credit score or wages, Ingram hard money lenders, who may be a privately owned company or an individual person, approve a loan after evaluating the home value, ease of marketability, its location, and the possibility of recouping their capital if they have to foreclose the loan. Adding to this, if the person can demonstrate past experience in similar real estate projects, can put down money towards the down payment, and the cost of equivalent properties in the neighborhood works to his benefit, he has got a good chance of being approved for a hard money real estate loan.
Finding a hard money lender in Ingram to finance your fix and flip endeavor is not hard, assuming that the opportunity that lies before you is promising and offers a strong potential for returns. Enter your info into the contact form or call us to talk about your property or properties.
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