You discovered this outstanding opportunity to renovate and flip this wonderful old house in a good area and it seems a lot like the deal you have been looking forward to for quite a while. You may have heard that veteran property flippers, much like the married couple on HGTV's Flip or Flop, enjoy an impressive average profit near $40,000 – $50,000. Naturally, you also know that their success are due to the fact that they're professionals, are well versed in hard money loans, they understand market trends really well and furthermore, they know how to work an auction to buy their properties at a reasonable price. On the other hand, you're certain that your impressive rehab and renovation skills will help you do a quality job on this project — furthermore, you have already lined up one of the most suggested building contractors in the business to take on this project.

But capital can be a separate problem entirely. When you apply for a regular loan via a bank, you will need to wait around approximately one to two months before the financing is approved and your money is ready. Given that sellers would prefer a fast closing, you might want to begin searching for other financing alternatives.

With banks establishing tougher loan standards in the last few years, it's become harder for a self-employed individual to obtain a mortgage loan, especially if his credit score is not optimal. So does this mean you have no option, but to abandon your dream of getting into flipping? Definitely not, because you always have the Oakmont hard money loan option.

A hard money home loan in Oakmont gives you what's viewed as essential to most real estate sales — a fast closing of only a couple of weeks and oftentimes less. Besides that, hard money lenders are able to do loans up to 70% LTV of the property or home value, as calculated by a licensed third-party appraiser. At first glance, hard money real estate loans, with starting interest rates of 10%, appear to be more expensive than bank lending products. But if you appreciate that these are not long-term loans, the rate of interest tends to be misleading. When it comes to short-term loans of a few years or less, you should think about them similar to every other expenditure for your project. When you have turned the home and have made a positive profit, you'll be able to get back this expense from the house — very much like recovering the money necessary for the brand-new appliances for the kitchen that you installed.

Besides, hard money mortgages are not hard to qualify for, even when you posses a low credit score. Oakmont hard money lenders do not take on a loan exclusively judging by the applicant's credit score — rather they additionally analyze the property, its valuation and location, and the property's capacity to pay back the loan on its own. Several other criteria that influence an applicant's approval for a hard money real estate loan include what amount of money he is in a position to put into a down payment, his past experience as a real estate investor, and price of comparable, fairly recently sold residences in the vicinity.

So in case you have stumbled upon a really good real estate opportunity with a significant probability of returns, you've also discovered a hard money lender in Oakmont who's ready to fund your rehab ventures. Fill out the form or get in touch with us via phone and let's talk about the property or properties you have in mind.