Hard Money Loans in Dania Beach
There is this phenomenal opportunity to rehab and flip this wonderful old property in a very good part of town and it seems like the deal you've been expecting for quite a while. You've probably heard that veteran home flippers, such as the couple on HGTV's Flip or Flop, have an impressive average profit close to $40,000 - $50,000. Of course, you also understand that their results are due to the simple fact that they are professionals, are knowledgeable in hard money loans, they understand the market quite well and additionally, they know how to work a public auction to purchase their houses at a good price. Still, your rehab and renovation skills aren't that bad either — aside from that, you've already found a suitable licensed contractor to tackle the job.
But where can you obtain the needed financing for flipping? In the event you apply for a traditional bank loan, you will have to wait somewhere around 30-60 days before the financing is authorized and the funding is readily available. Due to the fact the home owners are looking for a fast closing, that does not appear to be a good option to you at all.
To add to it, banks have been tightening their lending standards in recent years, making it hard for someone to get a traditional loan if their credit circumstances are not perfect or he is lacking a regular salaried occupation. So will a lack of financing keep you from sticking to your ambitions? Not at all, particularly when Dania Beach, Florida hard money loans can help you accomplish great things in real estate.
A hard money home loan in Dania Beach gives you what is possibly most essential to real estate investors — a quick closing in as few as a few weeks. Besides that, hard money lenders can approve funding up to 70% LTV of the property or home value, as determined by a certified third-party appraiser. With interest rates starting out at about 10%, hard money real estate loans may seem, at first, to be more costly compared to conventional bank financing. But usually, the rate of interest is not as pertinent for these loans, because they are not long-term financing. The price of such short-term loans ought to be viewed on par with any other expenditure that you would need to meet pertaining to the project. Right after you rehab and sell off the house, recuperating this expense is the same as recouping the expense for new kitchen appliances you placed into the home.
Aside from that, hard money mortgages are not hard to qualify for, whether or not you have a weak credit score. As an alternative for focusing primarily on the borrower's credit score or source of income, Dania Beach hard money lenders, who can be a privately owned company or an individual person, say yes to a loan as a result of analyzing the home value, ease of marketability, its location, and the likelihood of getting back their money in case they have to foreclose the loan. On top of this, if the borrower can demonstrate prior experience in comparable real estate projects, can put down cash for the down payment, and the cost of comparable properties in the vicinity works to his benefit, he stands a really good shot of qualifying for a hard money real estate loan.
So any time you run into a very good and lucrative flipping opportunity, be assured you will have a hard money lender in Dania Beach, prepared to lend you the cash you may need. Enter your info into the contact form or give us a call and let's talk about the property or properties you have in mind.