A fantastic bargain on a fix and flip opportunity located in a good neighborhood all of a sudden shows up — seems so good that it is hard to believe. You've probably heard that veteran house flippers, similar to the couple on HGTV's Flip or Flop, turn an impressive average return of around $40,000 – $50,000. Of course, you also recognize that their results can be attributed to the simple fact that they are professionals, are knowledgeable in hard money loans, they know market trends really well and in addition, they know how to work a public auction to buy their properties at an appropriate deal. Having said that, you've also been brushing up your rehab and renovation knowledge, have got a building contractor lined up and are certain that you're capable of doing a stellar job for this house.

But where precisely can real estate investors get financing? When you go after a traditional loan via a bank, you will have to wait around somewhere around one to two months before the money is approved and the funds are ready to go. So if you are looking for a fast closing, you need to realize that this will set you back by a couple of weeks, causing you to lose out on the home.

With banks adding harder loan standards in the past several years, it's become harder for a self-employed individual to obtain a mortgage loan, particularly if his credit situation is not perfect. So should you admit defeat and abandon your dream to venture into fix and flips? Definitely not, seeing as you also have the Thibodaux hard money loan option.

A hard money home loan in Thibodaux offers you what is deemed imperative to most real estate transactions — a very fast closing of only a 2-3 weeks and at times less. Plus, the LTV value can go up to 70% of the home's valuation, as determined by a certified appraiser. With lending rates starting off near 10%, hard money real estate loans may look, at first glance, to be more expensive when compared with conventional bank loans. But the time frames of these loans are rather short, which makes the rate much less important. The price of such short-term loans ought to be viewed on par with every other expense that you would have to meet pertaining to the project. Right after you rehab and sell the house, recouping this expense is the same as recuperating the one for stainless steel appliances you put in the property.

Furthermore, even an individual with bad credit can easily qualify for a hard money mortgage. The borrower's credit score isn't the single deciding factor for Thibodaux hard money lenders — they also analyze the house, how much it is worth, where it is located, and its capacity to earn back their investment if things should not go as planned. The total amount that a person can put upfront towards the property or home, his real estate experience, and selling price of comparable homes in the vicinity are other factors that go into establishing an individual's suitability for a hard money real estate loan.

So in case you have found a really great real estate opportunity with a high chance of returns, you have also stumbled upon a hard money lender in Thibodaux that is ready to provide financing for your rehab venture. Fill out the form or call us and let's talk about your property.