If you are an Investor, Contractor or Realtor in Florida and you routinely Buy and Sell Properties,
you have come to the right place.
I have three loan options that will greatly help Investors, Contractors and Realtors, as well as Homeowners. These programs will help get money back in your pocket quickly so you can move on to the next property. Is it not true that the more properties you turnover in a given year, the more money you make?
I have expanded guidelines regarding FHA Flips which allow for no waiting period under certain circumstances. The Fannie Mae Delayed Financing program which is essentially a Cash Out Refinance after you paid cash for the property. Also, Private Money or "Hard Money" loans are available at reasonable terms now anywhere in the state of Florida. These loan programs are great for every Investor who is a rehab guy, or perhaps a Contractor or a Realtor who knows how to buy, fix up and sell residential properties.
It is actually a great time to be an investor in Florida. Everywhere we look we are seeing outstanding capital appreciation. The problem is finding the home. Last year median home prices in Boca Raton jumped 30%! I am sure if you looked around you could find even greater appreciation in other parts of the state or a special deal on a property.
I am located in West Palm Beach but I do follow all parts of the state when it comes to real estate home values and purchase activity. If you go my Florida Mortgage Banker page you can get a quick snapshot of real estate trends and values across the state of Florida.
Recently these three mortgage programs have improved and now they are a huge help to the investor.
The first is the relaxation of FHA flipping guidelines. Flipping is when a savvy investor finds a deal on a piece of property, fixes it up and turns around and sells it for a profit quickly. Several years ago, lending institutions tighten the guidelines regarding flipping in an effort to protect the end purchaser. They made us wait 6 months on an FHA loan. Now we can do it in as little as 30 days under certain restrictions.
Secondly, The Delayed Financing Mortgage is when a customer pays cash for the home and later pulls the money out. This is helpful in todays fast paced sellers markets where cash offers trump offers with financing. We do the loan in 30 days or less and then you are liquid again ready to purchase another property.
Hard Money Loans or Private Money Financing are the third category of loans for investors. Many hard money lenders left town when prices plummeted in 2008. Eventhough many of these hard money guys would only lend 60% on a property they still got stuck holding a note that was worthless until our recent market turnaround. The Dodd-Frank Law further made their life tougher with very strict rules on compliance and especially owner occupied borrowers. Consequently hard money is not really available for owner occupied purchases but it is still available on investment properties which is not governed by RESPA. (Real Estate Settlement and Procedures Act)
Now, there are National asset based lenders that will help the investor get the money they need. In this case, I will refer you to the investor who lends on the property in need of Rehab. Unlike the days of old, the source will pull a credit report and look at your tax returns and experience and factor that into their decision.
Later on, in 3-12 months, my goal is to help you with the end loan for your buyers when the property is ready to be sold and you get the home under contract to the person who is going to live in it.