There's this amazing possibility for fixing and flipping this wonderful old property or home in a good location and it seems like the deal you have been expecting for quite some time. Professional property flippers, like the young couple on Flip or Flop, HGTV's reality flipping series, are capable of bringing in a gain of $40-$50k on a regular basis. And indeed, they are aided in a major way as a result of their professional experience, auction expertise and familiarity with hard money loans. However, you're assured that your impressive rehab and remodeling skills will enable you to do a great job on this house — additionally, you have already arranged to have one of the premier building contractors in town to work on this job.

But how do you get the needed funding for home flipping? A traditional lender, for instance a bank, takes at a minimum 1-2 months to authorize the mortgage and hand over the funds. Since most sellers wish to have a fast closing, you might need to start seeking out additional funding options.

With banks introducing more challenging loan criteria in the past several years, it's become harder for a self-employed person to find a home loan, especially when his credit rating is not optimal. So does this mean you have no option, but to drop your aspiration to venture into flipping? Definitely not, given that you also have the Pembroke hard money loan alternative.

A hard money home loan in Pembroke offers what's deemed imperative to many real estate deals — a very fast closing of only a couple of weeks and sometimes less. Also, hard money lenders can do funding up to 70% LTV of the home value, as established by a credentialed third-party evaluator. A number of people regard hard money real estate loans to be more costly than customary financing, considering interest rates for these loans often start at 10%. But once you understand these are not long-term mortgage loans, the rate can be misleading. Short-term loans of a couple of months to a few years are best looked at as cost of capital, the same as every other expense in connection with a project. And when you have finally flipped the property, recuperating this expense is comparable to recovering the expense for the kitchen and bath updates you did.

Additionally, it isn't difficult to obtain a hard money mortgage, even when your credit rating is not that great. Instead of focusing entirely on the applicant's credit score or income, Pembroke hard money lenders, who may be a privately owned company or an individual person, authorize a loan as a result of assessing the home value, ease of marketability, where it is located, and the likelihood of recovering their capital if they have to foreclose the loan. Additional variables that affect an individual's acceptance for a hard money real estate loan include how much money he can put towards a down payment, his former experience as a real estate investor, and selling price of comparable, recently sold properties nearby.

So should you run into a really good and worthwhile investment opportunity, relax knowing you'll have a hard money lender in Pembroke, able to lend you the funds that you need. Enter your info into the contact form on this page or get in touch with us via phone and let's discuss the property you have in mind.