A fabulous bargain on a fix and flip opportunity in an excellent neighborhood all of a sudden shows up — sounds so good that it is difficult to believe. You've probably heard that veteran property flippers, like the married couple on HGTV's Flip or Flop, have an impressive average return near $40,000 – $50,000. Of course, you also are aware that their results can be attributed to the fact that they are professionals, are knowledgeable in hard money loans, they know the marketplace really well and they also know how to work a public auction for getting a good deal. Still, your rehab and renovation skills aren't bad either — in any case, you've already located the right building contractor to take on this home.

But funding is a different issue altogether. Should you opt for an ordinary loan via a bank, you will wind up waiting around roughly 4-8 weeks up until the time the loan is authorized and the funds are ready. With the sellers wanting a fast closing, that doesn't seem like a great idea to you at all.

Furthermore, if you have an unfavorable credit score or do not have a conventional income, it may be harder for you to be eligible for a bank financing, considering the stricter loan requirements banks have put in place lately. So will a shortage of funding prevent you from sticking with your ambitions? Definitely not, seeing as you also have the Post Falls hard money loan alternative.

If you decide to get a hard money home loan in Post Falls, you have access to what is perhaps most important to real estate offers across the country — a fast closing of around a couple weeks. Additionally, loan amounts can be done for up to 70% loan-to-value of the as-is property's valuation, as calculated by a licensed appraiser. Some individuals consider hard money real estate loans to be more pricey than regular financing, considering interest rates of such loans typically start at 10%. But the time frames of these loans are comparatively shorter, which makes the rate far less significant. When it comes to short-term loans of a few years or even less, you should consider them the same as you would for every other expenditure for the project. After you renovate and sell off the property, recovering this expense is just like recuperating the cost of the new kitchen appliances you placed into the home.

Moreover, even an individual with bad credit can still qualify for a hard money mortgage. Post Falls hard money lenders do not take on a loan strictly on the basis of the person's credit score — instead they will look at the property, its valuation and location, and the home's ability to pay back the loan without the assistance of the person. The amount that a borrower can put upfront towards the house, his past real estate experience, and price range of comparative properties in the same vicinity are various other factors that go into establishing a person's qualification for a hard money real estate loan.

So in the event you come across a good and worthwhile flipping opportunity, relax knowing you will have a hard money lender in Post Falls, able to lend you the cash that you need. Enter your info into the contact form or call us to talk about your project.