Realtors are always looking to move more houses. Which is why it’s shocking that more of them haven’t started using hard money to sell more houses.
Hard money loans make it easy for realtors to double their sales and even sell undesirable properties.
Hard money loans are great resource for realtors to have in their back pocket in case to sell more houses.
Hard Money Loan Basics
“Hard Money loans offer financial freedom for real estate investors, and realtors to make more money than ever before.” -Loren Howard, Hard Money Lender Prime Plus Mortgages.
What are hard money loans, and more importantly how are people making money with them?
Hard money loans are a type of asset based loan, secured in real estate.
Hard money loans are secure in real estate properties, and lend on the properties After Repair Value, or ARV. To calculate this, they look at the current properties worth, estimated repairs, and calculate to find the properties after repair value.
Basically, they will hard money loans will cover the property cost and repairs for the property based on home value, instead of your credit.
How can Realtors make more money using hard money loans?
Clients using Hard money loans are Real estate investors looking for undervalued homes in need of repairs.
With hard money you can sell house in need of repairs, rentals, even foreclosures, easily and without hassle. You can even get the money for the property in 2 days! We break it down below.
Fix and Flip Loans
Fix and flip loans is a match made in heaven for house flippers. Thanks to the boom in fixer upper shows more people than even are flipping houses. Which is great news for realtors?
This is great news for realtors looking to move some stubborn properties out of their inventories.
You can get a serious sales boost with moving these properties and clean up house.
Realtors can even double dip, and reach out to the flippers to help them list their properties when they are list ready!
Fix and flip loans not only cover the property purchase, but also budget for located repairs. Which makes it a dream come true for house flippers and the realtors looking to move some bad properties.
Home Rehab Loans
Sometimes realtors get to sell rental properties, and being able to offer a home rehab loan option can make selling the rental easy.
More People are looking into real estate investing, and becoming a landlord. In fact, many first time investors start with land lording before expanding their real estate investing.
Home Rehab loans make becoming a landlord easy, and can make selling a rental property a breeze.
Home Rehab Loans are a popular type of hard money loan that covers the repairs of properties. For those looking to make one time large repairs for a property, a home rehab loan makes that easy.
For those listing homes, using a home rehab loan to make a onetime repair before listing, such as a new roof, will greatly increase their home value, earning a realtor more commision.
Bridge loans are a special type of hard money loan that is often used to prevent homes from being foreclosed.
Sometimes investors who self fund run out of funding and cannot completed their repairs, or want to buy foreclosed properties.
A bridge loan makes buying these properties, completing repairs, or refinancing a loan easy.
A bridge loan covers a gap in funding that is later either re-financed, or sold.
Realtors can make more money with bridge loans because it helps them be able to sell foreclosed properties, or help them sell higher value homes once the repairs are complete.
You can offer even more properties by using bridge loans, and increase your sales.
Using hard money loans can help realtors sell more homes because it increases the variety of homes you can sell!
From undervalued homes in need of repairs, or rentals, it is easier to sell to real estate investors with hard money loans. Here’s how you can make more money selling with hard money loans.
- Hard Money Basics: Hard money loans are asset based loans used for real estate investing on undervalued and distressed properties in need of repairs.
- Fix And Flip Loans: Perfect for house flippers to buy and repair distressed homes. You can even help them sell it once the repairs are complete!
- Home Rehab Loans: Great for homeowners looking to make a onetime repair before they sell, or landlords to update their property before they rent.
- Bridge Loans: Sell and buy foreclosed properties, prevent foreclosures on homes, and even complete repairs before listing in order to sell for more!
Have You ever used hard money loans?
Catherine Way Is an Marketing Assistant & Work From Home Mom. She graduated from Michigan State University Advertising Program with a specialization in Graphic Design. She loves modeling, dancing, coffee, and finding new ways to bring people together.