A fabulous bargain on a fix and flip property in a nice neighborhood suddenly shows up — seems so good that it's hard to believe. Professional home flippers, similar to the young married couple on Flip or Flop, HGTV's reality flipping program, are able to earn a profit of forty to fifty grand on the majority of projects. And without a doubt, they are helped in a big way by their professional know-how, auction abilities and knowledge of hard money loans. Still, your rehab and remodeling skills aren't that bad either — aside from that, you have already located a suitable contractor to start this home.

But capital is a different question altogether. If you get in touch with a customary lender, like a bank for financing, it can take at least 30-60 days for your acceptance to be completed and your money to be accessible. Since the majority of sellers give preference to a fast closing, it may be best to start searching for some other financing options.

With banks introducing harder loan criteria in recent times, it is more difficult for a self-employed individual to find a mortgage loan, particularly if his credit score is not flawless. So do you have to stop trying and forego your dream to venture off into the real estate market? Definitely not, seeing as you always have the Suffield, Connecticut hard money loan alternative.

A hard money home loan in Suffield boasts what's probably most crucial to real estate investors — a quick closing time of as few as 2 weeks. Additionally, financing can be done for up to 70% loan-to-value of the as-is property value, as determined by a professional appraiser. At first glance, hard money real estate loans, with starting interest rates of 10%, seem to be higher priced than bank financing. But in reality, the lending rate isn't as pertinent for these loans, since they aren't long-term financing. The price of such short-term loans should be viewed much like any other expense that you might encounter during the project. Once you've resold the property and have made a good profit, you're able to recover this expense from the property or home — similar to recovering the cost of brand-new kitchen appliances that you installed.

Moreover, even someone with poor credit can still qualify for a hard money mortgage. The person's credit score isn't the lone determining factor for Suffield hard money lenders — they also evaluate the house, its market value, where it is located, and its ability to earn back their investment if everything does not go as planned. How much a person can put down in advance towards the home, his real estate experience, and selling price of comparative homes in the area are additional factors that go into establishing an individual's eligibility for a hard money real estate loan.

If you happen to have stumbled upon a really good home to flip with a significant prospect of returns, you've also found yourself a hard money lender in Suffield that's happy to finance your flipping venture. Fill out the contact form on this page or get in touch with us via phone and let's discuss your project.