Loans to Flip Houses in Arizona are available to those wanting try their hand in the flipping industry.
The average profit on smaller flip homes in the States can range from $20,000 to $30,000. Three to four months is the average time it takes an experienced flipper to flip a home. With three to four completed flips per year, a flipper could possibly earn a profit of $60,000 to $120,000 per annum. The possibility of obtaining these types of returns, add in an increase in TV shows glamorizing real estate investment, has driven many individuals to try their hand in the flipping business. Great right? The ability to start a business that can generate six figures without pricy investments in an academic or trade education.
So, after looking at the earning potential of flipping houses and deciding that is the best real estate investment route, acquiring property to flip houses and financing to run a business are the next major steps that individuals come up against. What type of home should these investors flip? Well, usually, in the flipping industry, foreclosed, distressed, and short-sold homes are desirable. Property that will be sold at an enticing, wholesale rate. Sometimes, the right piece of property is no easy find, it is not a low hanging fruit to be snatched from above. Effort, research, and beating the bushes to find the right wholesale piece. Balancing the wholesale price, the foreseeable refurbishment cost, and the after-repair value ARV are important steps in evaluating if the investment is worth undertaking and, more importantly, if the investment is capable of generating sizeable return. After completing these analyses and others, financing becomes the next question to answer.
Due to the fact that most conventional lenders will not lend for the acquisition of distressed property, hard money Loans to Flip Houses in Arizona is crucial element to understand when flipping homes. Once a property is selected and the numbers are drawn out, a hard money lender is usually consulted in order to present financing options.
Though most investors making their way into the flipping business may not have a sizeable portion of cash to put down, some sort of property equity or initial cash down is needed to secure hard money Loans to Flip Houses in Arizona, this leverageable collateral or equity may be in the form of real estate already owned by the potential borrower.
With the collateral and the equity decisions under control and agreed upon, a hard money lender or broker will calculate rate, conditions, terms, and lending fees if applicable. He or she will be able to tailor a lending situation that is favorable, short, and able to secure a favorable investment situation for both lender and borrower. If receiving Loans to Flip Houses in Arizona is right for you talk to a hard money broker at Setabay today and make your way into the lucrative industry of flipping homes.
Level 4 Funding LLC
Hard Money Lender
Hard Money Loans
Hard Money Loan
Arizona Tel: (623) 582-4444
Texas Tel: (512) 516-1177
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 the Author: 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 and 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.