Help finding hard money for first flip

[Douglas Orr]

For almost 3 years I've been purchasing buying and holding rentals. I've recently decided I want to flip some homes to escalate my ability to purchase more rentals. I am looking for a HML that will work outside of big cities. I am about 45 minutes south of Indy on I-74. Thanks for the help!

[Zach Hubert-Allen]

Douglas,

To speak to your point about looking for HML's outside of big cities:

-Hard Money Lenders are typically asset based lenders, meaning the asset is their collateral. 

-In order to valuate a property as collateral, there must be a number of comparable properties. 

-Obviously in smaller towns, sometimes there are not enough comps to comfortably lend.

-Also, many HML's have a minimum loan requirement.(Loan Amount + Rehab Funds) My company's is 75K, meaning we would be unable to lend on a property that is valued at 30K. These thresholds are harder to reach in more rural/suburban areas.

-I would seek out local lenders or perhaps a HML based in Indiana. Hope this helps!