There is this outstanding opportunity to fix and flip this wonderful outdated house in a good part of town and it seems a lot like the deal you have been anticipating for quite some time. Many people know that skilled professional flippers, along the lines of Tarek and Christina El Moussa from HGTV's reality home flipping show, Fix or Flop, are able to earn an average profit of $40,000 to $50,000 when they flip properties. No need to explain that their rehabbing experience, understanding of hard money loans, expertise in their market, and auction talents have had a significant role in their successes. With that being said, you have also been brushing up your rehab and renovation knowledge, have a very good contractor ready for the project and are certain that you can do an impressive job on this house.

But how exactly can real estate investors get money? If you meet with a customary lender, like a bank for a loan, it more than likely will take a minimum of 4-8 weeks for your acceptance to come through and your funds to be accessible. So if you're expecting a fast closing, you must be aware that this may cost you a couple of weeks, causing you to lose out on the home.

On top of this, banks have been tightening their lending requirements as of late, making it hard for a person to get a traditional loan if their credit situation is not flawless or he is lacking a consistent salaried occupation. So must you stop trying and forego your dream to get into the real estate market? Certainly not, on the grounds that you can always use the South River, New Jersey hard money loan approach to pay for your rehab project.

A hard money home loan in South River provides what's perhaps most crucial to real estate investors — a fast closing time of as little as fourteen days. And additionally, financing can be done for up to 70% loan-to-value of the as-is home value, as deemed by a professional appraiser. At first, hard money real estate loans, with starting lending rates of 10%, could be seen as higher priced than bank lending products. But usually, the interest rate is not as pertinent for these loans, simply because they will never be long-term loans. Short-term loans of several months to a handful of years are best approached in terms of cost of capital, much like any other financial outlay in connection with a project. And once you've finally sold the house, recuperating this expense is comparable to recovering the expense for all the kitchen and bath updates you performed.

In addition, even an individual with bad credit can still qualify for a hard money mortgage. The customer's credit score isn't the sole determining factor for South River hard money lenders — they also look at the property, its market value, its location, and its ability to earn back their investment if everything does not go as intended. On top of that, if the person have proven experience in similar real estate ventures, can place down money for a down payment, and the price of comparative houses in the vicinity works to his benefit, he has got a really good shot of qualifying for a hard money real estate loan.

So any time you run into a very good and worthwhile investment opportunity, be assured you will have a hard money lender in South River, in a position to loan you the money you may need. Fill out the form on this page or get in touch with us via phone and let's talk about your project.