Imagine you've come across this really great deal for a fix and flip property in a terrific location, and you happen to be either a skilled real estate investor or a first-timer who hopes to try his hand at flipping. Many people know that skilled professional flippers, such as Tarek and Christina El Moussa who do HGTV's reality home flipping program, Fix or Flop, are able to turn an average profit of $40,000 to $50,000 when they flip properties. Naturally, you also understand that their success are due to the fact that they are professionals, are knowledgeable in hard money loans, they know market trends really well and in addition, they are good at working an auction to purchase their homes at a good price. On the other hand, you are certain that your superb rehab and remodeling knowledge can help you do a great job for this project — furthermore, you have already arranged to have one of the best general contractors in town to work on this project.

But funding can be a different issue entirely. A standard lender, like for example a bank, takes a minimum of 1 to 2 months to consent to the mortgage and deliver the funds. With all the home owners looking for a fast closing, that does not appear like a good idea to you at all.

With banks establishing more challenging loan guidelines in the last few years, it is now more challenging for a self-employed individual to find a home loan, especially if his credit rating is not optimal. So will a lack of funds stop you from pursuing your aspirations? Certainly not, on the grounds that you can always go the Plymouth hard money loan route to pay for your home flipping project.

A hard money home loan in Plymouth gives you what is possibly most desired by real estate investors — a fast closing time period of as few as fourteen days. Besides that, hard money lenders will often consent to lending up to 70% LTV of the property or home's valuation, as calculated by a certified third-party appraiser. At first, hard money real estate loans, with starting lending rates of 10%, could be seen as more expensive than bank lending products. But in reality, the interest rate is not as useful a measure for these loans, given that they will never be long-term loans. As it pertains to short-term loans of one or two years or less, you should think about them much like you would other expenses for the project. After you fix up and sell off the house, recovering this expense is no different than recovering the one for stainless steel appliances you installed in the place.

What's more, it's easy to be eligible for a a hard money mortgage, regardless if your credit rating is not that extraordinary. The borrower's credit score isn't the sole determining factor for Plymouth hard money lenders — they also evaluate the home, what is it valued at, where it is located, and its capability to earn back their financial commitment if things should not go as intended. Several other criteria that influence a borrower's approval for a hard money real estate loan can include what amount of money he can put into a down payment, his former experience as a real estate investor, and selling price of comparable, fairly recently sold properties in the neighborhood.

So in case you have found a really good home to flip with a significant probability of returns, you have also found yourself a hard money lender in Plymouth that is willing to provide financing for your fix and flip venture. Fill out the form on this page or call us and let's talk about the property you have in mind.