There is this outstanding opportunity to renovate and flip this wonderful out of date condo in a very good part of town and it looks a lot like the deal you've been wanting for quite a while. Expert home flippers, such as the young couple on Flip or Flop, HGTV's reality flipping show, are capable of hauling in a profit of $40-$50k on most projects. Naturally, you also understand that their successes are due to the simple fact that they're experts, are well versed in hard money loans, they know the market quite well and additionally, they know how to work an auction for getting a reasonable deal. On the other hand, you are convinced that your first class rehab and remodeling skills will help you do a great job on this property — additionally, you have already lined up one of the most recommended general contractors in the area to work on this project.

But how do you obtain the necessary funding for flipping? A traditional lending institution, like for example a bank, takes no less than 1-2 months to approve the financing and provide the money. So if you're anticipating a fast closing, it is important to understand or know that this will cost you a couple weeks, causing you to lose out on the house.

On top of this, banks have already been tightening their lending standards in recent times, making it challenging for a person to obtain a typical loan if their credit score is not perfect or he is lacking a consistent salaried occupation. So does this leave you with no option, but to drop your aspiration to venture into home flipping? Never, on the grounds that you could always go the Westport, Connecticut hard money loan route to fund your home renovating project.

A hard money home loan in Westport provides what's regarded as vital to most real estate deals — a very fast closing of only a 2-3 weeks and at many times less. Also, hard money lenders frequently agree to loans up to 70% LTV of the property value, as established by a licensed third-party appraiser. At first, hard money real estate loans, with starting interest rates of 10%, could be seen as costlier than bank loans. But in reality, the lending rate is not as useful a measure for these loans, because they aren't long-term financing. Short-term loans of a couple of months to a few years are best understood as cost of capital, the same as any other expense associated with a project. And once you've turned the property or home, recouping this expense is identical to recovering the expense for the kitchen and bath updates you did.

Apart from this, hard money mortgages are easy qualifying, whether or not you have a bad credit score. Rather than focusing solely on the applicant's credit score or net income, Westport hard money lenders, who could be a privately owned company or an individual person, authorize a loan after assessing the property value, its marketability, its location, and the possibility of recuperating their money in case of foreclosure. Other factors that impact an individual's approval for a hard money real estate loan can include how much he is able to put into a down payment, his past experience as a real estate investor, and selling price of comparable, just recently sold properties in the neighborhood.

So should you run into a very good and profitable investment opportunity, relax knowing you will have a hard money lender in Westport, able to loan you the funds that you need. Submit the form on this page or call us and let's talk about your property.