Hard Money Loans in Johnson City
A remarkable bargain on a fix and flip property in a nice area of the city suddenly turns up — seems too good to be true. Expert home flippers, much like the young married couple on Flip or Flop, HGTV's reality flipping program, are capable of bringing in a profit of $40-$50k on a consistent basis. Naturally, you also know that their great results can be credited to the fact that they're experts, are well versed in hard money loans, they know the market quite well and additionally, they know how to work an auction to purchase their houses at an appropriate deal. Having said that, you have likewise been cultivating your rehab and renovation skills, have a licensed contractor arranged and are confident that you will be able to do an impressive job for this house.
But how do you find the necessary financing for home flipping? If you opt for a regular loan via a bank, you will end up waiting approximately one to two months until eventually the mortgage is authorized and your funding is ready. Since most home owners would prefer a fast closing, you may want to begin looking for some other financing alternatives.
With banks introducing tougher loan criteria in the past several years, it's become harder for a self-employed individual to find a mortgage loan, especially when his credit situation is not optimal. So do you have to admit defeat and abandon your dream to embark into real estate? Most certainly not, given that you always have the Johnson City, New York hard money loan option.
A hard money home loan in Johnson City offers you what is regarded as crucial to most real estate sales — a fast closing of just a 2-3 weeks and oftentimes even less. Plus, the LTV value can range up to 70% of the home value, as determined by a certified appraiser. With the rates starting at about 10%, hard money real estate loans may seem, at first glance, to be higher priced compared to conventional bank lending products. But the term lengths for these loans are relatively short, which makes the rate less important. The price of such short-term loans should be viewed on par with any other expense that you will encounter in the course of the project. After you remodel and sell off the house, recouping this expense is no different than recuperating the expense for stainless steel appliances you installed in the house.
Besides, hard money mortgages are easy qualifying, whether or not you have got less-than-perfect credit. Instead of focusing strictly on the applicant's credit score or source of income, Johnson City hard money lenders, who may be a privately owned company or an individual, approve a loan after assessing the property value, its salability, its location, and the possibility of recuperating their money in case of foreclosure. On top of this, if the individual have proven experience in equivalent real estate projects, can put down cash towards a down payment, and the cost of similar houses in the area works in his favor, he stands a good shot of being approved for a hard money real estate loan.
So should you run into a very good and profitable flipping opportunity, relax knowing you'll have a hard money lender in Johnson City, ready to lend you the capital you will need. Submit the contact form on this page or get in touch with us via phone to discuss your project.
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