A Private Money Lender
What do I need to get this loan?
We did the homework so you don't have to. Here are the answers.
The "Really Short" Answer
Do you have an LLC?If Yes: About $900 + 10% down of the purchase price + 10% of the repair estimate.
If No: About $1200 + 10% down of the purchase price + 10% of the repair estimate.
The "Short" Answer
You might need about $300 to set up an LLC if you do not currently have one.You will need a property contract for the real estate the you are buying.
You will need $249 for an application fee once the property deal is approved.
Once the loan is approved you will need $400 to $900 for an appraisal.
10% of the purchase price as the down payment
10% of the repair estimate not to exceed 65% LTV
The "Long" Answer
Below are the detailed steps to the BEST PATH we found to getting a home flipping loan APPROVED from our money resource.
If No:
Get One. Without a LLC you will be disqualified from the loan.
Note: I ordered a LLC several years ago at legalzoom.com for about $299.00 - This sounds like a big task but it's not -
Get One. Without a LLC you will be disqualified from the loan.
Note: I ordered a LLC several years ago at legalzoom.com for about $299.00 - This sounds like a big task but it's not -
You must upload your property contract so that we can get the "real estate deal" tested and passed by the formula group.
Note: The more you make on the ‘flip,’ the better your chances of getting the loan. Even if your credit score is low the "real estate deal" means the most. The loan approval formula needs to see at least a $10,000 profit for you to get the 90% financing.
Note: The more you make on the ‘flip,’ the better your chances of getting the loan. Even if your credit score is low the "real estate deal" means the most. The loan approval formula needs to see at least a $10,000 profit for you to get the 90% financing.
Form 1: The Pre-Loan Application.
Form 2: The Client-Broker Agreement.
Note: We will send you a link to these forms.
Form 2: The Client-Broker Agreement.
Note: We will send you a link to these forms.
If Yes
Pay the application fee ($249) and connect to our website portal to upload documents. We will send you the link. Your tax documents etc are needed to get the loan approved. The website portal will tell you what documents to upload.
If No
Sorry the "deal" did not pass the formula.
Do not pay the application fee.
I hope we can help on your next property purchase.
Pay the application fee ($249) and connect to our website portal to upload documents. We will send you the link. Your tax documents etc are needed to get the loan approved. The website portal will tell you what documents to upload.
If No
Sorry the "deal" did not pass the formula.
Do not pay the application fee.
I hope we can help on your next property purchase.
The faster you upload all of your documents the faster you get an answer.
Note: The appraiser fee is now needed in the portal (estimated $400-$900).
Note: You do NOT pay the appraiser fee if your loan is not approved.
Note: The appraiser fee is now needed in the portal (estimated $400-$900).
Note: You do NOT pay the appraiser fee if your loan is not approved.
If Yes Awesome!
* You will need short term house insurance and possibly flood insurance.
* You will need a contractor bid for repair costs (Unless selling wholesale).
If No
Sorry the "deal" did not pass the final steps. Sometimes lenders can't get the deal. I hope we can help on your next property purchase.
* You will need short term house insurance and possibly flood insurance.
* You will need a contractor bid for repair costs (Unless selling wholesale).
If No
Sorry the "deal" did not pass the final steps. Sometimes lenders can't get the deal. I hope we can help on your next property purchase.
General Parameters
Loan amount parameter: $30,000 to $498,257 (FHA CAP)Loan purchase parameter: 90% of purchase so purchaser will need a 10% down payment.
Loan rehab parameter: 90% of rehab not to Exceed 65% LTV so purchaser will need to cover 10% of the repair.
Note: Cash-out Refi 50% LTV is available if purchaser owns 100% of current home.
Can I get higher amounts for commercial properties? Yes.
