Here is a Re-Blog from Dennis Dahlberg with 4 Funding LLC is an expert in commercial lending and also in the unique world of "flipping homes" and financing them. Although flipping homes is not as plentiful today as it was 10 years ago when there were many more foreclosure homes on the market, homes below market to become available and to get those homes that are often not in condition to be financed by a tradtional lender in a non owner occupied home, the hard money loan comes into help the flipper. Yes, the interest rate is higher but the ability to access cash is there. See the wise advice from Dennis on home flipping loans. If you are buying or thinking of flipping a home, here are some of the least expensive homes for sale in the Phoenix metro that you may want to consider.
To see the Least Expensive Homes For Sale in the Phoenix Arizona metro area on Full Page view
Though the flipping market is not as easy as it once was, it is still possible to eke out a living one renovation at a time, especially with loans to flip houses.
After the Great Recession, after a great deal of people lost residential properties, it was easy for real estate investors to run into short sold, foreclosed, or wholesale units. Many people were getting out of homes fast, and wholesale acquisition prices were low and enticing, if an individual could find the money to invest in them. At this time, flipping became a favorable means to an end for real estate investors since they could buy relatively cheap property from banks and furnish relatively inexpensive renovations generating a product to be sold at top retail value. The recipe: buy a house from the bank, renovate it, put in granite counter tops, and paint the exterior. Boom. A favorable retail price was within reach.
Fast forward to 2018. Flipping has become increasingly popular. Television shows on HGTV and other networks have glamorized the notion of “easy money” that can be acquired through flipping homes. Add to this the self-proclaimed gods of real estate advocating that by heading their tutelage individuals can have overnight success in flipping and make an innumerable fortune. Listen to the radio or the television, the ads are there. The publicity has driven many to try their hand in the business.
Understanding These Risks, Flipping Is Still Profitable
On top of a growing trend for individuals to enter into the flipping market, the housing market experienced a recent uptick. Houses recently rose in demand, a lot. Real estate agents are scrounging for homes that can be sold. Prices are high and homes, even distressed ones, are fewer and fewer to come by. To recap, that means a lot of people looking for flip homes with few units to be found on the market. Competition.
That being said, flipping houses is still a means of investing and receiving returns. Flipping is still capable of being profitable, but the game has changed and become seemingly more difficult in regard to property acquisition. A solid game plan is needed since it now takes some beating around the bushes, email campaigns to find sellers, possibly a relationship with a successful wholesaler. Work, not “easy money” nor “low-hanging fruit.” Finding the right piece at the right value, estimating correctly the needed renovations, and managing the flip correctly are all factors directly affecting return. On top of that, there is financing. Loans to flip houses in Arizona are a huge factor in the flipping business.
Loans to flip houses can help you establish a foothold in real estate investment.
The recent market trends published by ATTOM Data Solutions, suggests a growing number of individuals are using hard money loans to flip houses in Arizona. Other professionals indicate that this is due to a raise in housing prices requiring more money to invest or that it is due to a desire to use financing to increase the total amount of flips per annum. Nonetheless, understanding how to receive loans to flip houses in Arizona is essential for many to receive the returns that they need without burning through savings and cash flow. If flipping is the way to go and you have assessed the risks of the trade, then start your path to generating the returns you need. Talk to your broker at Level 4 Funding to secure the lending source that is right for you.
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.