Imagine you've stumbled upon this really great bargain on a fix and flip property in a great neighborhood, and you happen to be either a seasoned real estate investor or a first-timer who wants to try his hand at flipping. Expert home flippers, such as the young married couple on Flip or Flop, HGTV's reality flipping series, are able to earn a profit of forty to fifty grand on most projects. And yes, they are aided in a big way via their professional know-how, auction skills and understanding of hard money loans. On the other hand, you are assured that your impressive rehab and renovation skills will enable you to do a great job for this project — furthermore, you already have lined up one of the best general contractors in the area to take on the job.

But financing is a separate issue entirely. In the event you get in touch with a regular lender, much like a bank for a loan, it's likely going to take no less than 4-8 weeks for your approval to be completed and your funds to be sent out. Considering that all the sellers are looking for a fast closing, that does not appear like a great idea to you at all.

With banks introducing harder loan requirements in recent times, it is more difficult for a self-employed person to find a mortgage loan, especially if his credit rating is not perfect. So does this leave you with no other option, but to drop your ambition to venture into home renovating? Under no circumstances, particularly when Pulaski hard money loans enable you to accomplish great things in the real estate market.

If you should get a hard money home loan in Pulaski, you'll get what's possibly most important to real estate purchases across the country — a very fast closing of about two weeks. Additionally, financing can be made up to 70% loan-to-value of the as-is property's valuation, as established by a professional appraiser. On the surface, hard money real estate loans, with starting interest rates of 10%, seem to be more pricey than bank loans. But the term lengths for these loans tend to be rather short, which makes the interest rate much less significant. As it pertains to short-term loans of a handful of years or even less, you should look at them just like you would other expenses for the project. And as soon as you've turned the property or home, recuperating this expense is identical to recuperating the expense for all the bathroom updates you performed.

In addition, even an individual with bad credit will be able to be eligible for a hard money mortgage. Instead of focusing strictly on the borrower's credit score or source of income, Pulaski hard money lenders, who may be a privately owned company or an individual, authorize a loan after examining the home value, ease of marketability, where it is located, and the odds of recouping their capital if they have to foreclose the loan. The amount that a borrower can put down beforehand towards the property or home, how much experience he has in real estate investments, and price range of comparative homes in the same neighborhood are additional factors that go into determining an applicant's suitability for a hard money real estate loan.

So in the event you run into an outstanding and profitable flipping opportunity, feel comfortable knowing you will have a hard money lender in Pulaski, ready to loan you the cash you may need. Fill out the form or give us a call to discuss the property you have in mind.