A remarkable bargain on a fix and flip opportunity located in a nice area of the city shows up out of the blue — sounds so good that it is difficult to believe. You've heard that veteran property flippers, like the couple on HGTV's Flip or Flop, turn an impressive average profit near forty to fifty thousand dollars. And indeed, they are helped in a major way as a result of their professional know-how, auction expertise and understanding of hard money loans. However, you are certain that your first class rehab and remodeling abilities will assist you to do an outstanding job on the home — in addition, you already have arranged to have one of the premier general contractors in the area to work on this project.

But money is often a separate problem entirely. For those who apply for an ordinary bank loan, you will need to wait around somewhere around 1 to 2 months until eventually the loan is authorized and your money is ready to go. Considering that the sellers are seeking a fast closing, that does not seem like a wise idea to you in the slightest.

On top of this, banks have already been tightening their lending criteria as of late, rendering it more challenging for people to receive an ordinary loan if their credit situation is not flawless or he is lacking a regular salaried profession. So does this mean you are without an option, but to drop your aspiration of venturing into flipping? By no means, due to the fact you can always go the Laurel hard money loan route to pay for your home flipping project.

If you opt for a hard money home loan in Laurel, you'll get what's possibly most important to real estate purchases across the country — a fast closing of about two weeks. What's more, the LTV value can range up to 70% of the home's valuation, as estimated by a certified appraiser. With rates starting at about 10%, hard money real estate loans might appear, at first glance, to be higher in price compared to conventional bank lending products. But usually, the rate of interest isn't as relevant for these loans, given that they will never be long-term financing. When it comes to short-term loans of several years or even less, you should look at them similar to any sort of other expense for your project. Right after you renovate and sell the house, recouping this expense is no different than recouping the money you spent for home appliances you put in the home.

Furthermore, even an individual with low credit can still be eligible for a hard money mortgage. As an alternative for focusing entirely on the borrower's credit score or wages, Laurel hard money lenders, who can be a private company or an individual person, approve a loan after evaluating the property value, its marketability, its location, and the odds of recouping their money in the event of foreclosure. Adding to that, if the individual can demonstrate prior experience in equivalent real estate ventures, can place down cash for the down payment, and the value of comparable homes in the area works in his favor, he will have a good likelihood of being approved to obtain a hard money real estate loan.

Searching for a hard money lender in Laurel to finance your renovation project is not very hard, so long as the opportunity that lies ahead of you is promising and has the right potential for returns. Submit the form on this page or get in touch with us via phone to discuss the project you have in mind.