Featured Post

The Big Show is Coming to Town.

Don’t do it…it’s a big mistake flipping homes can cost you a lot of money . Every week the house flipping circus comes to town and adve...

Friday, December 27, 2019

Are Arizona Fix and Flip Loans Realistic?

HGTV makes flipping houses look so easy—but is it? Read more below to find out what types of loans are available to you for your first successful flip.

Depending on your financial situation and history of flipping, the best loan for you may not be the best for everyone. When it comes to loans, many people are guided to private investors when approval can’t be obtained by banks. On the flip, even experienced flippers will use private investors because of the speedy process. Gaining financing for Arizona Fix and Flip Loans will be different for everyone, but it can be done if you know your situation.

Loans from banks are usually the first place people look. Because banks are traditional public lenders, they will have strong stipulations in place. Strong credit score and financial history are musts. Unfortunately, not everyone can meet these types of requirements. Those who meet these requirements will obtain a loan that functions like most typical mortgage loans.

When traditional lenders are out of the question, private investors come next. Private investors offer Arizona Hard Money Loans that have a less strict approval process. While people with imperfect credit may be able to obtain a hard money loan, they may not be able to balance the high fees and interest rates that combat the easy approval process. Those considering Arizona Hard Money Loans must also be aware of the short repayment period. Experienced, financially proficient flippers take the short repayment period as an advantage. A successful flip equates to a fast sale and the ability to repay the loan fast. Again, not everyone will see this as an advantage.

Depending on the property, a personal loan may be best. Personal loans are great if a property only needs small renovations. If the property needs a little work, they may be combined with other loans.

The Real Deal Arizona Fix and Flip Loans

Coming right down to it, the most common Arizona Fix and Flip Loans are offered by Arizona Hard Money Lenders. The short repayment period is ideal for a property that, hopefully, sells quickly. During the renovation process, however, it’s going to be important that you’re working with professionals and know what you’re dealing with. The last thing you want is a piece of property that causes more chaos than anything else. Though of course, your lender doesn’t want that either, and will offer a loan based on the loan-to-value ratio, or the LTV. Arizona Hard Money Lenders are usually able to offer around 65%.

Conclusion

Arizona Fix and Flip Loans don’t always play out in real life like they do on TV—but that doesn’t mean you still won’t find success with one. Understanding the market, renovation process, and stipulations that come with each type of lender is going to be what ensures you success based on your personal financial situation, and further goals for the fixer upper. Putting in time and research on the type that’s best for you just may be the difference between a flip and a flop.

  
                                                      

                                                                                                                                         Dennis Dahlber Broker Ri CEO Level 4 Funding LLC

Dennis Dahlberg
Broker/RI/CEO/MLO
Level 4 Funding LLC
Hard Money Lender
Hard Money Loans
Hard Money Loan
Arizona Tel:  (623) 582-4444
Texas Tel:      (512) 516-1177
Dennis@level4funding.com
Dennis Dahlberg Broker/RI/CEO

NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 Congress Ave | Austin | Texas | 78701
About:  Dennis has been working in the real estate industry in some capacity for the last 40 years. He purchased his first property when he was just 18 years old. He quickly learned about the amazing investment opportunities provided by trust deed investing and hard money loans. His desire to help others make money in real estate investing led him to specialize in alternative funding for real estate investors who may have trouble getting a traditional bank loan. Dennis is passionate about alternative funding sources and sharing his knowledge with others to help make their dreams come true. Dennis has been married to his wonderful wife for 43 years. They have 2 beautiful daughters 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.
© 2019 Level 4 Funding LLC. All Rights Reserved.

Copyright | Privacy Policy | *Terms & Conditions

No comments:

Post a Comment