Flipping houses is an increasingly popular way to generate wealth in the real estate market. Countless homes in the California, Nevada, and Arizona housing markets are ready and waiting to be flipped by the right investor. For many rehab investors, a hard money loan is the first step to purchasing a foreclosed or neglected property and turning it into a profitable piece of real estate. Whether you’re a first time real estate investor or have spent years flipping houses, following these important guidelines can help you make the most out of your house flipping investments.
1. Know the market.
Many amateur investors make the mistake of selecting houses to flip based solely on factors such as proximity to their own home, initial purchase price, and state of disrepair. While these factors are important to consider, they can limit investors from seeing bigger and better opportunities. When selecting a home to flip, it’s vital that investors understand the markets that they’re working in. Depending upon its location, the exact same house with the same net repair costs could turn a much greater profit in one neighborhood versus another. Limiting the markets you’re interested in based upon cash on hand can also be very limiting. With fast and reliable hard money loans from Zinc Financial, investors can leverage their finances to invest in more lucrative rehab opportunities than they would be able to without an investing partner.
2. Know the house.
This may seem like common sense, but many investors get so excited about potential investments that they make an offer before having all of the information about the extent of a home’s damage, code violations, and structural integrity. At Zinc Financial, lenders work with rehab investors to find investment opportunities that are sound.
3. Choose the right loan.
Within the rehab loans industry, there is a vast spectrum of available rates, terms, loan amounts, and professional integrity. Some companies offering flip loans have no interest in whether a real estate investor is successful — they simply want their interest. Others work only as brokers, which slows down the lending process and limits the level of flexibility that the company can offer.
Zinc Financial is different. Repeat investment partners of Zinc Financial know that the Zinc process never changes — loan applicants can always expect expert assistance with their rehab strategy, fast funding when they need it, and reasonable terms and rates.
4. Leverage your wealth to increase your options.
With careful planning and strategy, a rehab investor can use the funds they have to do more than they thought possible. Zinc Financial enjoys working with clients to help them identify house flipping opportunities that can allow them to generate greater wealth in a shorter period of time. Smart investment strategies might include flipping multiple homes at once, renting refurbished property instead of selling it outright, or flipping an apartment complex instead of a home.
Because the housing market is always changing, the best opportunities are constantly in flux. That’s why it’s important to work with an experienced hard money loan provider that has the resources and know-how to help investors stay on top of the game.
To learn more about Zinc Financial’s hard money loans, call (559) 326-2509.