Roswell, Georgia is a suburb outside of Atlanta, a bit farther away from the city than Marietta. With a population of 94,000, it is the ninth biggest city in Georgia and is experiencing rapid growth in its population and economy. It has an incredibly low unemployment rate, strong economy, and home prices.
As such, it is a terrific place to invest in real estate. Demand for housing in Roswell is rising very quickly, which makes it a lucrative place to invest. The rental market is also strong given Roswell’s proximity to Atlanta, and rental prices are affordable.
Currently, according to Rocket Homes, Roswell is a seller’s market, which means homes tend to sell faster and prices tend to be higher than asking price. The median sold price of homes in Roswell was $485,000 in 2021, and in 2021, 81% of homes were sold under 30 days. 53% of homes were sold over asking price.
Hard money loans are a great way to secure the home of your dreams. It is fast cash that can be approved within a couple of days. The greatest advantage is this speed of approval in a competitive market like Roswell, where the vast majority properties are sold under 30 days after listing.
Hard money loans are often used to fund construction projects, repairs of foreclosed and distressed properties, fix and flips, and long-term rentals. They are very flexible in negotiations with lenders, and they are approved based on the location and the price of the property.
While most hard money lenders have minimum credit score requirements of 600 to 620, the terms of a loan use the property as collateral. If a borrower defaults on a hard money loan, the lender takes on the property, so most hard money lenders look at whether the property could pay off the loan in case the borrower defaults.
However, hard money loans are seen as a last resort for a reason. Hard money loans also have significant drawbacks compared to traditional loans from banks. They have lower LTV ratios, higher interest rates, and lower repayment periods. This means the borrower usually needs to put down a higher than average downpayment. For new investors, securing an ideal hard money loan can be difficult since some lenders only loan to investors with experience of successful house flips or rentals.
It’s important not to just trust any hard money lender. Some are untrustworthy in adding on extraneous fees like closing costs and origination fees. It’s important to do your research and be selective in choosing your lender.
At Hard Money Lenders IO, we did the work for you and have compiled a list of the best hard money lenders in Roswell.
