There's this phenomenal opportunity to renovate and flip this wonderful outdated condo in a fantastic part of town and it looks like the one you've been anticipating for a long time. Most folks know that capable professional flippers, like Tarek and Christina El Moussa who do HGTV's reality flipping show, Fix or Flop, can generate an average profit margin of $40,000 to $50,000 when they rehab properties. Of course, you also recognize that their results are credited to the fact that they're experts, are proficient in hard money loans, they understand the market really well and additionally, they know how to work a public auction for getting a good price. Nonetheless, your rehab and renovation skills aren't bad either — aside from that, you have already located the right licensed contractor to take on the home.

But where can you get the necessary funding for flipping? For those who go after a regular loan via a bank, you will end up waiting somewhere around 4-8 weeks until the mortgage is authorized and your money is available. So if you're anticipating a fast closing, it's important to understand or know that this could set you back by a couple of weeks, making you lose out on the house.

With banks introducing tougher loan standards in the recent past, it's become more challenging for a self-employed individual to find a mortgage loan, especially when his credit rating is not optimal. So does this mean you have no option, but to drop your aspiration of getting into home flipping? Absolutely not, because you also have the Lodi hard money loan alternative.

A hard money home loan in Lodi provides you with what is probably most essential to real estate investors — a fast closing time period of as few as 2 weeks. And additionally, loan amounts can be made up to 70% loan-to-value of the "as is" home's valuation, as deemed by a qualified appraiser. With rates starting off near 10%, hard money real estate loans might seem, at first glance, to be higher priced compared to conventional bank financing. But once you understand these are not long-term mortgage loans, the rate of interest may be misleading. When it comes to short-term loans of a handful of years or even less, you should think of them similar to every other expenditure for your project. And as soon as you've sold the home, recovering this expense is identical to recouping the expense for all the bathroom upgrades you performed.

Besides, hard money mortgages are not difficult to qualify for, even if you have got bad credit. Lodi hard money lenders do not take on a loan exclusively according to the applicant's credit score — instead they will analyze the home, its location and value, and the property's capability to pay back the loan by itself. How much a borrower can put upfront towards the house, how much practical experience he has in real estate investments, and selling price of comparative properties in the same neighborhood are other factors that go into establishing a person's qualification for a hard money real estate loan.

So should you come across a really good and lucrative flipping opportunity, relax knowing you'll have a hard money lender in Lodi, in a position to loan you the money you'll need. Fill out the contact form or get in touch with us via phone and let's talk about your project.