Suppose that you've come across this truly good deal on a fix and flip property in an ideal neighborhood, and you are either a seasoned real estate investor or a first-timer who wants to try his hand at flipping. Everyone knows that capable professional flippers, along the lines of Tarek and Christina El Moussa from HGTV's reality flipping program, Fix or Flop, can turn an average profit of $40,000 to $50,000 when they flip properties. And yes, they are aided in a big way by their professional knowledge, auction expertise and knowledge of hard money loans. Nonetheless, your rehab and renovation skills aren't bad either — aside from that, you have already located the right building contractor to handle the home.

But how can you obtain the needed funding for flipping? If you opt for a traditional loan via a bank, you will have to wait around somewhere around 1 to 2 months until the loan is authorized and your funding is ready. Since most sellers would prefer a fast closing, you might have to begin searching for some other funding alternatives.

With banks introducing more challenging loan standards in the recent past, it's become more challenging for a self-employed individual to get a mortgage loan, especially when his credit rating is not optimal. So does this mean you are without an option, but to drop your ambition to venture into home renovating? Absolutely not, because you always have the Leander hard money loan alternative.

A hard money home loan in Leander promises what's possibly most sought after by real estate investors — a very fast closing time of as few as fourteen days. What's more, the LTV value can go up to 70% of the place's valuation, as determined by a competent appraiser. On the surface, hard money real estate loans, with starting lending rates of 10%, could be seen as more expensive than bank lending products. But when you consider these loans are not long-term home loans, the interest rate may be misleading. The cost of such short-term loans ought to be considered much like every other expenditure that you would need to meet pertaining to the project. And as soon as you have sold the property, recuperating this expense is comparable to recouping the expense for the kitchen and bath improvements you did.

What's more, it's easy to obtain a hard money mortgage, regardless of whether your credit score is not that superb. The customer's credit score is not the single deciding factor for Leander hard money lenders — additionally, they consider the home, its market valuation, where it is located, and its capacity to return their financial commitment if things should not work out as planned. The amount that an individual can put down in advance towards the property, how much practical experience he has in real estate investing, and selling price of comparable homes in the same vicinity are additional details that go into determining an individual's qualification for a hard money real estate loan.

So any time you run into a really good and lucrative flipping opportunity, rest assured you will have a hard money lender in Leander, prepared to lend you the cash you'll need. Complete the form or give us a call to discuss your property or properties.