You discovered this outstanding possibility for rehabbing and flipping this nice outdated house in a very good area and it seems a lot like the one you have been anticipating for quite a while. You've heard that veteran property flippers, similar to the married couple on HGTV's Flip or Flop, turn a remarkable average profit of around $40,000 – $50,000. No need to explain that their rehabbing experience, understanding of hard money loans, expertise in their housing market, and auction skills have had a big part in their results. With that being said, you've also been cultivating your rehab and remodeling skills, have a licensed contractor lined up and are confident that you will be able to do a stellar job for this property.

But where can you find the needed funding for flipping? When you apply for a conventional bank loan, you will wind up waiting somewhere around 30-60 days until eventually the mortgage is approved and the funding is ready to go. Because most sellers prefer a fast closing, you might need to begin seeking out additional funding options.

Moreover, if you have a less-than-perfect credit situation or do not receive a conventional income, it usually is tougher for you to be eligible for a bank financing, seeing the more stringent loan guidelines banks have put in place in recent times. So do you have to admit defeat and abandon your dream to get into fix and flips? Not at all, especially when Pantego hard money loans will assist you to realize many amazing things in the real estate market.

A hard money home loan in Pantego provides what is perhaps most important to real estate investors — a quick closing time period of as few as a few weeks. What's more, the LTV value can range up to 70% of the property's valuation, as determined by a credentialed appraiser. With the loan rates starting off at about 10%, hard money real estate loans may seem, at first glance, to be higher priced compared to conventional bank lending products. But the lengths of these loans are much shorter, making the interest rate less important. Short-term loans of several months to a handful of years are best understood in terms of cost of capital, very much like every other financial outlay related to a project. When you have sold the house and have made a successful profit, you'll be able to get back this expense from the house — much like recouping the cost of brand-new kitchen appliances that you have installed.

Additionally, it isn't difficult to be eligible for a a hard money mortgage, even if your credit score is not that impressive. Rather than focusing only on the person's credit score or wages, Pantego hard money lenders, who could be a private company or an individual person, say yes to a loan after evaluating the property value, how easy it will be to market, where it is located, and the possibility of recuperating their capital in case of foreclosure. Several other factors that have an impact on a customer's acceptance for a hard money real estate loan include what amount of money he is able to put towards a down payment, his prior experience as a real estate investor, and price of comparative, recently sold properties in the vicinity.

Finding a hard money lender in Pantego to finance your fix and flip endeavor is not very hard, assuming that the opportunity in front of you is promising and possesses a good potential for returns. Fill out the contact form or call us and let's discuss the project you have in mind.