When you’re looking for a hard money loan to purchase a home, there are some properties that you’ll be better off borrowing on than others – but how do you know what types of homes to shoot for?
The Best Properties for Hard Money Loans
While every hard money lender in Atlanta is different, your best bet is to look for properties that are more likely to be approved and are more likely to help you turn a profit.
Here’s what you should look for:
- Homes that have more than two bedrooms. Houses that have more than two bedrooms are generally easier to sell than those with one or two – and you’ll be doing yourself a favor if you search for roomier houses to rehab and flip.
- Homes that are larger than about 900 square feet. Small homes are only right for a tiny portion of homebuyers, but mid-sized homes are good for a large number of people. You’ll be better off buying a more spacious home to fix up and flip than a small one because your potential buyer pool is a lot bigger.
- Homes without structural damage. Not only are cracked foundations and waterlogged roofs tough to fix, they’re expensive – and you might not get as much of a return on your investment as you’d like if you undertake such a huge overhaul.
- Homes away from popular rental areas. If a community is filled with rental properties, the subsequent values of the properties there are probably lower than what you could find in areas with high home-ownership levels. It’s often best to stick to areas where people own the majority of the homes rather than rent them to tenants.
Need a Hard Money Loan in Atlanta?
If you’ve already found the perfect property, it’s time to talk money. Call us at 404-814-1644 or fill out our simple online hard money loan application. You can also contact us online if you have any questions – we’ll be happy to help.