An incredible deal on a fix and flip opportunity in a nice neighborhood all of a sudden shows up — sounds so good that it's hard to believe. Professional residential home flippers, such as the young married couple on Flip or Flop, HGTV's reality flipping show, are capable of earning a gain of $40-$50k for most homes. No need to explain that their rehabbing experience, understanding of hard money loans, expertise in their market, and auction skills have been major factors to their results. Still, your rehab and renovation knowledge isn't bad either — aside from that, you have already found a suitable contractor to tackle the home.

But capital is usually a separate issue entirely. Should you approach a common lending institution, like a bank for funding, it is very likely going to take, as a minimum, 30-60 days for your approval to come through and your money to be distributed. Given that home owners would rather have a fast closing, it may be advisable to start seeking out additional funding alternatives.

With banks bringing in harder loan requirements in the past several years, it is now tougher for a self-employed person to find a mortgage loan, especially when his credit rating is not optimal. So will a lack of financing stop you from pursuing your aspirations? Absolutely not, because you always have the Wayne hard money loan option.

A hard money home loan in Wayne boasts what's perhaps most sought after by real estate investors — a very fast closing in as little as fourteen days. Furthermore, hard money lenders can do funding up to 70% LTV of the property's valuation, as identified by a licensed third-party evaluator. With the interest rates starting out near 10%, hard money real estate loans may appear, at first glance, to be higher priced compared to traditional bank lending products. But the term lengths for these loans tend to be quite shorter, which makes the interest rate much less important. When it comes to short-term loans of 1 or 2 years or less, you should think of them just like you would other expenses for your project. Right after you rehab and sell the property, recouping this expense is no different than recuperating the money you spent for new kitchen appliances you placed into the home.

Furthermore, even an individual with low credit can easily be eligible for a hard money mortgage. The customer's credit score is not the sole determining factor for Wayne hard money lenders — they also examine the piece of real estate, how much it is worth, where it is located, and its potential to earn back their investment if everything does not go as planned. The total amount that an applicant can put down in advance for the house, his past real estate experience, and selling price of comparative homes in the same area are additional factors that go into analyzing a borrower's eligibility for a hard money real estate loan.

If you happen to have stumbled upon a really great fixer-upper with a significant prospect of returns, you have also found yourself a hard money lender in Wayne that's happy to finance your flipping venture. Submit the form or give us a call and let's discuss your property.