7 Things That Will Help You Get Approved For Hard Money Loans

Hard Money can be a fast way to fund everything from residential property, to industrial properties to new home construction. I will not get into every aspect of hard money but I will give you a general frame work that your brain can understand.

First of all most hard money lenders let you to finance up to 65% of the value of the home. If the loan is for rehab purposes, the lender will use the after-repaired value of the house as a frame of reference. I have seen occasions that went as high as 75% but 65% is typical.

These loans are per case basis and very flexible so there is a lot of space if the package works. It can be a set back if you are fresh to investing but luckily that can usually be offset with adequate cash reserves and a good plan of action.

Lets look at an investor rehab loan to visualize how the numbers work.

Lets say you came across a beat up old home in a good neighborhood where homes sell for $100,000. The seller walks you through the home and you determine that the property needs around $12,000 in work. You’ve gotten pre-qualified for a rehab loan and want to know what the maximum you should pay for the house.

Lets keep it basic, you will want to take $100k x 65% – loan costs repair costs/holding costs = Purchase price. Loan costs, for hard money loans, run from 8-13% of the total loan amount. They are not inexpensive but its less money than you will pay to a partner! For now we can assume costs of 10% and holding costs of $2,000. Given those numbers, you probably should not invest more than $45,000 for the house. If you decide to pay more, that just means more money out of your pocket to complete the project.

Here are a few great tips you can use to maximize the likelihood of getting approved for hard money loans, in general:

  1. The more equity in the property after the loan, the better,
  2. The higher your credit rating, even better
  3. The more credit history you have, the better!
  4. The more liquid assets you can show that you have personally or have guaranteed access to (lines of credit, partners, rich uncles…) the better
  5. The more populated the area, the better
  6. The faster the properties in that area sell, the better
  7. The more solid the appraisal value, the better! A lot of hard money lenders like to use fire sale values as the basis point of the loan so dont be stunned. This is definitely not the time to use stretched values.

All in all, this is a numbers game. Do not allow yourself to get attached to a property if the numbers don’t make sense. Hard money lenders can be flexible but present them a deal where the numbers don’t add up and it could cost you a relationship. Credit doesn’t always matter but it does help, tremendously, if you can show good credit history.

Better Homes and Gardens Magazine

Today, “Better Homes and Gardens” magazine is one of the most popular home magazines sold. For years it has been showing people everything from how to get clutter out of a house to which plants can be grown in doors. It also has shown countless recipes and quick-fix meals. Various crafts have also been show cased.

History

This magazine actually started off under the title of “Fruit, Garden and Home” in 1922, and was published by the Meredith Corporation. This was a family and home service magazine. Then in 1924 the name was changed to “Better Homes and Gardens”. When it first hit the newsstands one could buy it for $.10 a copy. The price for a subscription for a year was only $.35

Several years later in 1930 to be exact, a cookbook under the same name of the magazine was published. Building Ideas was published as a special interest publication under “Better Homes and Gardens” in 1937.

Then in 1978 a real estate service was launched under the Better Homes and Gardens name. Also the Australian version of the magazine was published. A quilting magazine under the Better Homes and Gardens name came out in 1993 offering even more information for people on home activities.

Circulation

The latest circulation figure for this magazine is a whopping 7,688,000 people. Now that is quite a following!

Content

Since early in the publication of the magazine the content has been based on the home and its garden areas. Included in the topics for the home have even been craft ideas people can make on their own. Also various ideas on home d├ęcor have been included to help one decorate their house. Tips on planting seeds and taking care of plants are even included in one current issue of this magazine.

From a 1940′s information on how easy ironing was then to January 2010 article on how to cut down the clutter in the house among other things, this magazine strives to be of help to people. This magazine has had recipes on various items from cookies to bread puddings.

The recipes are all kitchen tested to make sure they work. This magazine has offered even a food guide in the past. It is quite a job to plan meals for a family and magazines like this one make the job much easier.

In the July 1963 issue had an article “How to Stay Young and Look Great”. It seems like the public does not change in what they need to read since many articles are written today on that same subject. In 1965 an issue came out showcasing which campers were the latest on the market.

Where to Buy

The Better Homes and Garden magazines are sold in most bookstores that carry magazines, grocery stores, drugstores, and on a home subscription basis. The subscription price today is $5.99 a year with 12 issues. That is only $.50 a piece. In stores the price is $3.99 an issue in the USA. You can also order a Better Homes And Gardens magazine subscription online.

Your Local Home and Garden Store Can Make You More Creative

Looking for a creative outlet? There’s a reason so many people are interested in do-it-yourself, or DIY, projects. In this era of smartphones and quick fixes, you may be surprised by how fulfilling it can be to make something with your own two hands. If you don’t know where to start, a home and garden store can provide you not only with materials, but also good advice.

If you haven’t been to a home and garden store in a while, just wait until you see the possibilities! Most offer not only the typical nuts and bolts, but also a full selection of painting supplies, outdoor furniture, seasonal plants, and even kitchen wares. In every section, you’ll find a product you would never expect. Chalkboard paint? Solar-powered garden lights? Stop by a store to get your imagination flowing.

Home and garden stores are also a great place to take the kids. You can often get lower prices on basic art supplies, and kids see endless possibilities in basic materials like wood and wire. It can be fun to think outside the box-for instance, metal hardware can make beautiful jewelry.

These shops abound with possibility. For any one problem-whether it’s unsightly cords, a broken table, or a boring room-you’ll find ten different solutions. You’ll find the employees are knowledgeable about DIY projects and eager to help figure out the best solution for you.

If you’re interested in home improvement, note that the kitchen and the master bath tend to add the most value during a home sale. Even if you don’t plan to sell your house soon, you can add some joy to your life by fixing up these heavily used spaces.

Home improvement doesn’t have to break the bank. Update the kitchen with a fresh tile pattern behind the counter, metallic paint on the old fridge, or refinished cabinets.

A bathroom can become a relaxing getaway with just a few beautifying tips. You can repaint the old vinyl floors, add mirrors, or try a more modern style of light fixture.

Don’t neglect your outside space, either. Just a few hanging pots and fresh deck chairs can turn an unused deck into a favorite family hangout.

If you’re not sure about your creative abilities, don’t worry-you can experiment! Start thinking like an interior designer. Could you add a subtle flourish? A bold accent color? Flipping through catalogs or looking at pictures online can also lead to inspiration. Take those pictures to the home and garden store, where employees will be happy to show you how to make your dream a reality.

For whatever project you have in mind, it’s always fine to pay a professional, but first talk to the employees at your local home and garden store. They will let you know if a project will be too difficult or well worth the creative effort. If you do give that DIY project a try, you’ll soon discover the creative satisfaction of making your life more functional and beautiful.