Tag Archive for: investor real estate loans

With the right funding, a real estate investor can unlock a wide range of opportunities that can help grow their portfolio and generate profits. Here are some key things a real estate investor can do with proper financing:

1. Acquire New Properties

  • With access to funding, an investor can purchase rental properties, fix-and-flip homes, or even commercial real estate. This expands their portfolio and gives them a chance to earn income from rents or property appreciation.

2. Rehab and Improve Properties

  • Investors can use loans like fix-and-flip or bridge loans to renovate distressed properties. By upgrading a home, they increase its value and can sell it at a higher price or charge higher rent.

3. Leverage Debt to Scale Faster

  • With financing options like DSCR loans or cash-out refinances, an investor can leverage debt to purchase multiple properties. This allows them to scale their investments faster than if they relied solely on personal funds.

4. Diversify Investments

  • Funding helps investors branch out into different types of real estate. Whether it’s single-family homes, multifamily properties, or even commercial real estate, having financial flexibility means more diversification in income streams.

5. Maximize Return on Investment (ROI)

  • Investors can structure their funding in ways that improve their ROI. For example, using interest-only loans during the early phases of a project can reduce payments and free up cash flow.

6. Cover Unexpected Costs

  • Loans like finish-a-project loans or short-term bridge loans can help investors deal with unexpected expenses. Whether it’s a renovation that runs over budget or repairs on a rental property, funding helps investors avoid financial strain.

7. Refinance for Better Terms

  • Investors can refinance their existing properties to lower interest rates, switch to longer loan terms, or pull out equity to reinvest in new projects. This gives them more flexibility in managing their cash flow and debt.

8. Expand into New Markets

  • With the right funding, investors can enter new geographic markets. They can take advantage of opportunities in small towns, fast-growing cities, or even different states.

Proper funding opens doors for real estate investors, helping them grow their wealth, diversify their portfolio, and take advantage of opportunities in the market. The key is finding the right financing for their specific needs and goals.

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What is a HELOC?

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What is a HELOC?

Today we are going to discuss not only what a HELOC is, but how it can help you succeed in real estate investing. Here at The Cash Flow Company, we always strive to make investing easier for you. One tool that can significantly help is the HELOC. To clarify, a HELOC stands for a Home Equity Line of Credit. It  is essential for making real estate investing simpler, faster, and more affordable. By opening this account, you gain flexibility, allowing you to fund deals yourself or secure contracts quickly. In fact, it’s surprising that not all investors have a HELOC on at least one of their properties. The benefits are so apparent that it’s wild that more people don’t use them. Let’s dive in! 

What is a HELOC?

Again, a HELOC, or Home Equity Line of Credit, and is like a big credit card for your home. It lets you borrow against the equity in your property. This can be your own home or a rental property. To clarify, you can get a HELOC on a home with no mortgage or even one that already has a mortgage.

How Does it Work?

Think of it as a revolving line of credit, much like a credit card. Here are the steps to use it:

  1. Get Approved: Apply at a bank or credit union.
  2. Draw Period: Use the funds for up to 10 years. You can pay it back and use it again, just like a credit card.
  3. Flexibility: Use it for down payments, purchases, or even repairs.

Examples:

Example 1:
Imagine you own a property worth $300,000 and get a HELOC for $200,000. You find a great deal on another property for $150,000. You can use your HELOC to buy it quickly, without waiting for a traditional loan approval.

Example 2:
Let’s say you own a property worth $400,000 and owe $250,000 on it. You get a HELOC for $75,000. Someone comes to you with a good deal on a property for $75,000. You can write a check from your HELOC and buy it immediately.

Apply today!

In conclusion, this resource can be a powerful tool for real estate investors. By offering flexibility, lower costs, and speed, it makes investing easier and more efficient. Therefore, if you want to streamline your investing process, consider setting it up. today. With the right strategy, you can use your home equity to seize opportunities quickly and grow your wealth faster. Visit our website to explore your options and get started today.

Watch our most recent video to find out more!

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3 Ways to Make More Money: How to Triple Your Cash Flow

If you constantly dream of living your ideal life, but keep coming up against obstacles, then check out these 3 ways to make more money and starting tripling your cash flow.

 

Here are 3 ways you can start making more money today:

Boost your credit score.

Maybe you’ve heard this before, maybe you haven’t, but it bears repeating again and again.

Your credit score matters.

A lot!

The products you have access to, and the interest rates you pay all stem from your credit score. Which means your score can cost you thousands of dollars if it’s not high enough. It can also cost you the real estate loan you need.

We’re not talking about a 50-point difference. We’re talking about a single point. That’s right. Just one! For example, a score of 680 will get you a traditional conforming loan, but a score of 679 won’t.

That’s just one point.

So, what can you do to start boosting your credit? Well, here are a few tips:

  • Go private
  • Get authorized
  • Pay extra

Buy Discounted Properties

You can do what most people do and find a full-priced property on the MLS. Or you can connect with a wholesaler and take advantage of under market properties (aka, discounted properties).

Get out of your hard money loans.

If you buy a property through a wholesaler, or if you can’t obtain a traditional loan through a bank quite yet, then chances are you’ll need a hard money loan.

And, yes, hard money loans are expensive. So, you don’t want to get stuck in one too long. But maybe you ARE stuck right now. Well, you can boost your cash flow by finding a way out.

And there are options for everyone. That includes real estate investors who:

  • Haven’t been self-employed for more than 2-years.
  • Like to write everything off on their taxes.
  • Or haven’t owned a value-add property for more than a year.

These are just 3 ways you can triple your cash flow. And we can help you with each one!

Ready to chat? Great, our team is here to help you create a plan.

Happy investing!

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