Hard Money Loans in Palm Beach Gardens

A remarkable buy on a fix and flip opportunity in an excellent area of the city shows up out of the blue — seems too good to be true. Most folks know that knowledgeable professional flippers, such as Tarek and Christina El Moussa who star in HGTV's reality home flipping show, Fix or Flop, are able to earn a typical profit margin of forty to fifty thousand dollars when they flip properties. It goes without saying their past experiences rehabbing, understanding of hard money loans, expertise in their housing market, and auction talents have been major factors to their successes. Nonetheless, your rehab and remodeling skills aren't that bad either — aside from that, you have already identified a suitable licensed contractor to take on this project.

But where can you get the necessary financing for home flipping? A conventional lender, for instance a bank, takes at a minimum 1 to 2 months to consent to the loan and hand over the funds. So if you happen to be wishing for a fast closing, you have to understand or know that this will set you back by weeks, causing you to lose out on the home.

With banks adding harder loan guidelines in the past several years, it is more difficult for a self-employed individual to get a mortgage loan, particularly if his credit rating is not optimal. So does this leave you with no option, but to abandon your dream of venturing into home flipping? By no means, particularly when Palm Beach Gardens, Florida hard money loans will assist you to accomplish great things in real estate.

A hard money home loan in Palm Beach Gardens can provide what is viewed as crucial to most real estate sales — a very fast closing of only a few weeks and more often than not even less. Plus, the LTV value can go up to 70% of the property value, as determined by a certified appraiser. With rates starting near 10%, hard money real estate loans may look, at first glance, to be more expensive in comparison with conventional bank financing. But in reality, the interest rate isn't as pertinent for these loans, given that they aren't long-term loans. Short-term loans of a couple of months to a few years are best understood in terms of cost of capital, very much like every other financial outlay related to a project. Right after you fix up and sell off the house, recovering this expense is no different than recouping the cost of the new kitchen appliances you placed into the place.

Additionally, it is simple to be eligible for a a hard money mortgage, even if your credit rating is not that extraordinary. The borrower's credit score is not the exclusive determining factor for Palm Beach Gardens hard money lenders — in addition, they consider the house, its market valuation, where it is located, and its potential to return their investment if things should not work out as intended. Adding to this, if the applicant have proven experience in comparable real estate projects, can place down money towards the down payment, and the price of comparable houses in the neighborhood works to his benefit, he will have an excellent chance of being eligible for a hard money real estate loan.

So in the event you come across an outstanding and lucrative flipping opportunity, be assured you'll have a hard money lender in Palm Beach Gardens, able to lend you the cash that you need. Fill out the contact form on this page or call us to talk about your project.