An outstanding deal on a fix and flip property in an excellent area of the city shows up out of the blue — seems so good that it's hard to believe. Everyone knows that capable professional flippers, along the lines of Tarek and Christina El Moussa who do HGTV's reality flipping show, Fix or Flop, are able to generate a typical profit of forty to fifty thousand dollars when they flip properties. And without a doubt, they are aided in a major way by their professional experience, auction abilities and familiarity with hard money loans. That said, you have also been brushing up your rehab and renovation skills, have a licensed contractor lined up and are confident that you're capable of doing a great job for this property.

But how do real estate investors find funding? In the event you get in touch with a regular lending institution, like a bank for financing, it's more than likely going to take, as a minimum, 4-8 weeks for your acceptance to be completed and the money to be accessible. So if you're anticipating a fast closing, you must understand that this will set you back by a few weeks, causing you to lose out on the sale.

To add to it, banks have been tightening up their lending standards in recent years, rendering it more difficult for a person to receive a traditional home loan if their credit situation is not flawless or he does not possess a regular salaried profession. So will a lack of financing prevent you from sticking to your aspirations? Certainly not, on the grounds that you can always go the St Bernard hard money loan route to fund your flipping project.

A hard money home loan in St Bernard gives you what's probably most important to real estate investors — a quick closing time of as little as fourteen days. Further, financing can be made up to 70% loan-to-value of the as-is valuation, as established by a professional appraiser. At first, hard money real estate loans, with starting lending rates of 10%, could be seen as more costly than bank lending options. But once you appreciate that these are not long-term loans, the rate can be misleading. When it comes to short-term loans of 1 or 2 years or even less, you should consider them similar to any other expenditure for your project. Right after you remodel and sell off the house, recovering this expense is the same as recovering the expense for home appliances you placed into the place.

In addition, even individuals with low credit will be able to qualify for a hard money mortgage. Instead of focusing entirely on the applicant's credit score or source of income, St Bernard hard money lenders, who may be a private company or an individual, say yes to a loan as a result of analyzing the property value, its marketability, where it is located, and the likelihood of getting back their capital in case they have to foreclose the loan. How much money an individual can put down in advance for the home, his real estate experience, and price range of comparative homes in the vicinity are additional factors that go into ascertaining an applicant's qualification for a hard money real estate loan.

So if you have stumbled on a really great home to flip with a significant potential for returns, you've also found yourself a hard money lender in St Bernard who is happy to provide funding for your rehab project. Complete the contact form on this page or get in touch with us via phone to discuss the property you have in mind.