Hard Money Loans in Iowa Park
Imagine you've run into this truly good deal for a fix and flip property located in an ideal neighborhood, and you're either a skilled real estate investor or a newbie who is looking to try out flipping houses. Everybody knows that capable professional flippers, such as Tarek and Christina El Moussa who star in HGTV's reality home flipping show, Fix or Flop, can readily turn an average profit of forty to fifty thousand dollars on their flips. Undoubtedly, you also understand that their successes are attributed to the fact that they're industry experts, are well versed in hard money loans, they understand the market really well and furthermore, they know how to work an auction to buy their houses at an appropriate price. Nonetheless, your rehab and remodeling skills aren't bad either — besides, you've already found a suitable contractor to tackle this job.
But how exactly can real estate investors find money? When you get in touch with a standard lending institution, like a bank for funding, it can take at least 30-60 days for your acceptance to be completed and the money to be given out. With the home owners wanting a fast closing, that doesn't seem like a good option to you in the slightest.
As well as this, in case you have a sub-optimal credit situation or do not have a regular source of income, it can be harder to be eligible for a a bank loan, seeing the more stringent loan criteria banks have put in place in recent times. So will a lack of financing keep you from sticking to your dream? Certainly not, considering that you could always use the Iowa Park hard money loan approach to fund your home renovating project.
When you put in an application for a hard money home loan in Iowa Park, you'll get what is possibly most vital to real estate offers across the country — a fast closing of approximately fourteen days. Plus, the LTV value can go up to 70% of the home's valuation, as determined by a competent appraiser. With the rates starting out near 10%, hard money real estate loans may seem, at first glance, to be higher priced when compared with traditional bank financing. But the time frames of these loans are comparatively shorter, which makes the rate far less significant. When it comes to short-term loans of 1 or 2 years or less, you should look at them much like you would other expenses for your project. When you have sold the home and have made a good financial gain, you can reclaim this expense from the property — very much like recuperating the cost of brand-new kitchen appliances that you have put in.
Also, it is simple to be eligible for a hard money mortgage, even if your credit rating is not that superb. Iowa Park hard money lenders do not authorize a loan exclusively according to the applicant's credit score — instead they additionally analyze the property, its location and value, and the property's ability to pay back the loan by itself. The amount that an applicant can put down beforehand towards the property or home, how much experience he has in real estate investments, and price range of comparative homes in the neighborhood are other details that go into establishing an applicant's qualification for a hard money real estate loan.
So in case you have stumbled upon an excellent real estate opportunity with a significant probability of returns, you have also stumbled upon a hard money lender in Iowa Park that is happy to fund your fix and flip project. Enter your info into the form on this page or give us a call and let's talk about the project you have in mind.
A loan specialist will be in touch shortly