Hard Money Loans in Wilton Manors
An incredible buy on a fix and flip opportunity located in an excellent neighborhood all of a sudden shows up — sounds so good that it's hard to believe. Professional residential home flippers, much like the young couple on Flip or Flop, HGTV's reality flipping show, are capable of bringing in a profit of $40-$50k on most projects. And indeed, they are helped in a big way by their professional knowledge, auction skills and understanding of hard money loans. On the other hand, you are convinced that your impressive rehab and renovation talents will assist you to do a great job on the house — what's more, you already have lined up one of the finest general contractors in the business to take on this project.
But how do real estate investors obtain funding? If you meet with a standard lender, like a bank for a mortgage loan, it's very likely going to take no less than 4-8 weeks for the approval to come through and your money to be accessible. Because most home owners give preference to a fast closing, you may want to begin looking for other funding alternatives.
Furthermore, should you have a less-than-perfect credit score or do not receive a regular income source, it usually is more challenging for you to obtain bank financing, considering the more stringent loan requirements banks have put in place as of late. So does that mean you are without an option, but to abandon your ambition of venturing into rehabbing? Never, because you can always go the Wilton Manors, Florida hard money loan route to fund your home flipping project.
Should you apply for a hard money home loan in Wilton Manors, you'll get what is possibly most vital to real estate transactions across the country — a fast closing of around a couple weeks. Additionally, loans can be done for up to 70% loan-to-value of the "as is" property value, as calculated by a licensed appraiser. With rates starting out near 10%, hard money real estate loans may look, initially, to be more costly when compared with traditional bank lending products. But the time frames of these loans are quite shorter, making the rate much less significant. When it comes to short-term loans of a handful of years or less, you should look at them the same as you would for every other expense for the project. After you rehab and sell off the property, recouping this expense is no different than recovering the money you spent for new kitchen appliances you put in the home.
Aside from that, hard money mortgages are not difficult to qualify for, even if you posses a low credit rating. Wilton Manors hard money lenders do not approve a loan strictly on the basis of the customer's credit score — instead they additionally evaluate the property, its location and value, and the home's capacity to pay back the financing by itself. Other criteria that influence a person's eligibility for a hard money real estate loan include how much he can put towards a down payment, his prior experience as a real estate investor, and selling price of similar, just recently sold properties in the neighborhood.
Locating a hard money lender in Wilton Manors to finance your renovation project is not very hard, as long as the opportunity in front of you is promising and offers the right prospect for returns. Fill out the form or get in touch with us via phone and let's talk about the property you have in mind.