Hard Money Loans in Kenton
You discovered this amazing opportunity to rehab and flip this nice outdated house in a fantastic area and it looks like the one you have been looking forward to for a long time. Many people know that capable professional flippers, like Tarek and Christina El Moussa from HGTV's reality flipping series, Fix or Flop, can make a typical profit of forty to fifty thousand dollars when they flip properties. And without a doubt, they are helped in a big way as a result of their professional experience, auction skills and familiarity with hard money loans. Having said that, you have likewise been developing your rehab and renovation knowledge, have a building contractor lined up and are confident that you will be able to do a stellar job on this property.
But money is often a different question entirely. In the event you go after a regular loan via a bank, you will wind up waiting approximately 30-60 days up until the time the financing is approved and the money is ready to go. Since the majority of sellers favor a fast closing, you may have to begin seeking out additional funding options.
To add to it, banks have been tightening their lending criteria in recent years, rendering it more hard for people to get a typical home loan if their credit score is not flawless or he does not have a consistent salaried job. So does that mean you are without an option, but to abandon your aspiration of venturing into rehabbing? Under no circumstances, especially while Kenton hard money loans enable you to realize many amazing things in the real estate market.
A hard money home loan in Kenton promises what is probably most important to real estate investors — a very fast closing in as little as 14 days. Also, hard money lenders frequently agree to lending up to 70% LTV of the home value, as identified by a qualified third-party evaluator. At first glance, hard money real estate loans, with starting interest rates of 10%, seem to be higher priced than bank loans. But in reality, the lending rate isn't as useful a measure for these loans, because they will never be long-term loans. As it pertains to short-term loans of 1 or 2 years or even less, you should consider them similar to every other expenditure for the project. After you remodel and sell the property, recouping this expense is no different than recovering the one for stainless steel appliances you placed into the house.
Additionally, it is easy to qualify for a hard money mortgage, regardless if your credit situation is not that impressive. Kenton hard money lenders don't take on a loan exclusively according to the applicant's credit score — rather they will analyze the property or home, where it is located and what it is worth, and the home's capacity to pay back the loan by itself. The amount that a person can put upfront towards the property, his real estate experience, and price range of equivalent homes in the same neighborhood are other details that go into ascertaining an individual's qualification for a hard money real estate loan.
Finding a hard money lender in Kenton to finance your real estate project is not hard, assuming that the opportunity that lies before you is promising and offers a good potential for returns. Submit the contact form or give us a call to discuss your property or properties.
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