Sunset Valley Hard Money Lender Fundamentals: ARV's, Rates, Terms, Qualifications and More
Benefits of Hard Money Lending in Sunset Valley
- Common Sense Underwriting
- Additional Borrowing Clout
- Customizable Loans
- No Limitations on the Number of Properties
What is Hard Money in Sunset Valley Texas?
Hard money is a type of mortgage financing which is an option when standard mortgages are not. Property investors throughout the Sunset Valley Texas area are looking to buy, fix-n-flips and market residential houses and commercial buildings for which they are always in a consistent search of funding options where they could access the needed quantity conveniently. Nevertheless, due to the rigorous qualification requirements, bad credit report scores, reduced finance quantity and inappropriate finance period, the standard modes of funding typically aren’t always offered. This is where hard money loan providers help out and come to the rescue of real estate investors.
Hard money lenders not only provide investors the leverage they need to purchase the a building they desire purchase, they additionally provide advice in picking the right house with capacity for a good “fix n turn” return, as well as getting the deal approved promptly and efficiently. Here’s a take a look at the main reasons that residence fins in Sunset Valley are relying on hard money lenders over standard funding.
Hard Money Rates and Terms in Sunset Valley
There are many variables that influence the rates you can get with your hard money financing. These variable range from; credit scores, credit history, liquidity and real estate investing experience.
100 Percent Financing for Hard Money in Sunset Valley Texas
So is it really possible to get 100 percent financing on a hard money loan? The quick and simple answer is ABSOLUTELY, as long as you have a properly structured deal!
Now there are a couple caveats that make up a a properly structured deal.
- Not all hard money lenders offer this type of leverage
- Not all borrowers will qualify for this type of hard money financing
- Not all potential properties will fit the program
In order to accomplish a properly structured hard money financing deal, you need to understand how to leverage a hard money loan. Here are the variables you will need to dial in on upfront before you can consider this option and in this order.
- Comps that you dialed into that gives you an accurate after-repaired-value (ARV)
- An accurate rennovation budget
- As always, you will need to negotiate a low sales price
- Now if your negotiated low sales price and your rennovation budget = 70 percent (or less) of the after-repaired-value (ARV)
- The property should qualify for 100% hard money financing in Sunset Valley because the best lenders will give you all of the 70% of the ARV which = 100% financing! The purchase price and the rennovation costs will be covered*
*There are a few variables that could prevent the property from qualifying
Hard Money Lenders in Sunset Valley Fund These Property Types:
Commercial Hard Money Loans in Sunset Valley
Types of commercial properties hard money mortgages finance:
- apartment complex loans
- mixed use loans
- industrial loans
- blanket mortgages loans
- raw land loans
- construction loans
- development project loans
Residential Hard Money Loans in Sunset Valley
- fix and flip loans
- rehab and rent loans
- buy and hold loans