Investment property financing is utilized by investors as a temporary strategy to purchase a commercial or residential investment property or to refinance a current home or building. The proper Fort Lauderdale investment property loan, with optimal terms and interest rates, will help real estate investors in achieving their objectives.

Investment home mortgages, because they are fast closing and easy to be approved for, supply Fort Lauderdale real estate investors with tremendous advantages. Although many banks think twice about providing money to a self-employed customer, privately held financing companies will not have a problem approving a mortgage, so long as the property has a strong likelihood of generating income, the person is a seasoned real estate investor and manager, and he provides a planned strategy for an exit and the fiscal capability to satisfy the mortgage terms. The individual must be willing to put a deposit towards the home or free up some existing equity. When compared to traditional lending institutions, such as banks, privately held lenders demand significantly less forms and documents, helping make private real estate investment loans in Fort Lauderdale fast closing.

Many real estate investors use the equity in their properties as a way to acquire money for buying more investment properties or purely to boost the cash they have on-hand. To illustrate, a couple who lived close to Lake Michigan in a tourist area bought a bank-owned investment home for $600k. They put in improvements worth $150,000, after which the property, which was being operated as a B&B, was valued at $1.2M as determined by a qualified appraiser.

The total annualized cash flow received from the home added up to $120k/year. Their below average credit score of 460 made it improbable for a traditional bank to aid them in retrieving their personal investment in the property by doing a refi on the previous mortgage. Read Rock Capital (Read Rock Capital) issued a real estate investor loan at 65% LTV, providing them with $780k, and allowing them to unlock the cash they initially put into the property.

Real estate investor loans are likewise a fine choice for those who want to do a cash-out refinance to unlock their preexisting equity for other real estate transactions. Think about the instance of an individual who obtains a fix-and-flip property or home in Fort Lauderdale, completes the necessary renovations, but is struggling to locate a buyer for it. His capital is stuck inside this project, hindering him from making use of it for other types of projects. Most normal loan companies, along the lines of a bank, will not agree to a cash-out refinance if the customer has not yet owned the property for a minimum of 1 year. But Read Rock Capital can approve a cash-out refinance as much as 70% loan-to-value, depending on the appraised as-is valuation of the property, even when the home is unoccupied.

Read Rock Capital knows that the funding needs of an investor in real estate are not the same as that of a regular home buyer. Your research for the most suitable Fort Lauderdale real estate investment loan stops right here. Enter your info into the form on this page or give us a call to discuss which investment property loan would be best for your property or properties.