(The fix and flip market has become very popular with novice real estate investors as well as seasoned professionals. But the big question for everyone is where to look for Arizona fix and flip loans.)
As new real estate investors are searching for ways to turn a profit and grow their business, the fix and flip segment of the industry has become a favored investment option. But these new investors are often faced with many challenges as they look for Arizona fix and flip loans. Knowing the best resources for Arizona fix and flip loans can be a huge help in launching your successful career in real estate investing.
Working within your close circle of family and friends is often a great way to secure funding for your first flip purchase. These loans are normally less challenging and stressful but should still be taken very seriously as a debt that must be repaid in a timely fashion. A finance partner is also a good choice. This is much like a silent partner, who will provide the money while you invest the knowledge and labor on the job. Or if you own your home or have substantial equity in your home, a home equity line of credit is a great way to put your equity to work for you in your new business venture. But be aware that you are putting your own home at risk if the project fails.
Another resource that you could have from a previous job is your 401k retirement savings plan. Many of these plans are designed to allow you to loan yourself money for certain investments or expenses. Check with your plan administrator if you are not sure how your plan is structured. The biggest benefit here is that you will be paying the interest on the loan to your own retirement plan.
More Traditional Arizona fix and flip loans
A personal loan is another option if you have good credit and enough income to justify the added payment. The interest rate could be higher than some other types of loans but higher interest is better than no loan. In some cases, you might also get very fortunate and find a seller who is willing to offer you seller financing. This is a great option for both of you as you are likely to be able to pay the loan off in less than a year when the flip is completed and sold.
A Hard Money Option
Texas Hard Money Loans are also known as asset-based loans because they are secured by the property that you are purchasing. You make a large down payment of up to 30%, and then the property is used as the collateral for your loan. If you default on the loan, then the hard money lender takes possession of the property as payment for the loan. These loans are normally short-term which works perfectly for a fix and flip project and allows new investors to have a great resource for loans as they begin their new career.
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 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.
© 2016 Level 4 Funding LLC. All Rights Reserved.