Hard Money and Refinancing

Financing, Hard Money Lenders, Private Money
1

Hi,

I am considering an opportunity to use private/hard money to acquire a property, rehab, and flip for a property at 70% ARV.

I would like to plan for 1-2 months for rehab and another 6 months to sell it. Overall, I am thinking of asking for a 9 month term. If I am unable to sell within 6 months, then I would start preparing my contingency plan would be to refinance.

A couple questions:

  • Is it realisitic to believe I would be able to refinance within 6-9 months?
  • What do you think of this strategy in general?
2

you want to be able to extend the term of your hard money loan,if you have the houe on the market you can’t get a mortgage on it, I think it has to be off the market about 6 months before they will consider a mortgage,will they know it is/was listed,yes,today the mortgage underwritters are like private detectives, they know things I would never know they could find out

3

Thank you, what is a standard term for a rehab flip with a hard money lender?

4

Standard hard money loan is 1 to 3 years if you can afford the rates.