Finding and fixing property for flipping is different than doing the same to a house for your primary residence. Here’s how you can go about it using a hard money loan in Pittsburgh:
Find a property
You need a property that has a great resale value. This is why we consider this the most difficult, challenging, and most time-consuming step of the process. You can get a real estate agent to help you out.
It always helps to leverage someone else’s expertise before you become an expert yourself. Read up on the real estate trends and familiarize yourself with the market trends. You need to be able to understand when the market is bullish and when it’s bearish. Focus on finding a property neighborhood that an average family can afford. This will help you sell it faster.
Analyze the property
Once you’ve found a suitable property and the neighborhood, you need to analyze the property and see what kind of improvements are needed. Is there a distressed yard or worn-out carpet that needs your attention? Get an inspector to analyze the property and see if it can be easily fixed. Make a list of the improvements that are needed and get a contractor to take a look. A contractor will be able to give you an estimate for the property cost.
You’ll need the exact cost of repairs to price the property. After the repairs have been carried out, you need to compare the prices for active listings and similar properties that have been sold in the past. Start with the lowest price and move your way up. Never consider overvaluing the property.
Get a hard money loan
Carrying out the right number of repairs will need a lot of funding. You need money to fix the property. The idea is to borrow a loan amount, use it to fix the property, and repay the loan after you’ve sold the property. A hard money loan is a great idea for starters. They are extremely easy, quick to process, and you always have a higher chance of getting approved compared to a conventional bank loan.
Are you looking for a hard money loan for your next fix and flip option in the United States? We recommend reaching out to Global Capital Partners Fund LLC and get approved for a hard money loan real quick! They’re offering hard money loans in Iowa, Indiana, North Carolina, New Jersey, Florida, Philadelphia, and a lot more. Get in touch.