In this video, I break down exactly how fix and flip loans work for beginners, specifically focusing on how to navigate hard money lending without a proven track record.
I explain the critical difference between "As-Is" value and Loan to Value (LTV) based on After Repaired Value (ARV), which is the key to getting funded.
I also guide you through the three major decisions every new investor must make: securing the right lender, accurately determining future property value to minimize market risk, and vetting contractors to ensure they have the specific experience your project requires.
Finally, I reveal my "reverse engineering" strategy: finding a lender's "sweet spot" before you even start looking for properties to guarantee your deal gets approved. ===================================== Timestamps:
00:00 - Intro 01:07 - The Secret to Approval: LTV vs. After Repaired Value (ARV) 01:55 - Hard Money Lenders vs. Traditional Banks (As-Is Value) 02:41 - The 3 Critical Decisions Every New Investor Must Make 03:57 - Warning: How to Properly Vet Your Contractor 05:00 - The "Reverse Engineer" Funding Strategy 05:30 - How to Find a Lender's "Sweet Spot" (The Shopping List
===================================== About The Investor's Edge
Welcome to the official YouTube channel for The Investor's Edge, your ultimate partner in achieving financial freedom through real estate investing. We are the only "One-Stop-Shop" in the industry that combines proprietary software, expert coaching, and in-house financing to help you Fix & flip houses with confidence.
Whether you are a beginner looking for your first deal or a pro scaling your business, our proven 7-Step System eliminates the biggest barrier to entry: capital. We specialize in 100% Financing and Hard Money Loans that cover both the purchase price and repair costs, allowing qualified investors to close fix and flip deals with Zero Cash-to-Close.
Our channel provides actionable tips on how to leverage our Real Estate Investing Software to find hidden opportunities for Fix & flip. Learn how to use our "Quick List" filters to locate motivated sellers, from pre-foreclosures and zombie properties to tired landlords. We show you how to utilize built-in Skip Tracing, Direct Mail Marketing, and our Advanced Deal Analysis calculators to ensure your numbers work before you make an offer.
With The Investor’s Edge, you gain access to accurate After Repair Value (ARV) data, a precise Rehab Estimator to budget your renovation costs, and instant Proof of Funds letters to get your offers accepted. Backed by an A+ BBB Rating, a 4.8-star Google rating, and over $47,000 in median student profit per deal, we are dedicated to helping you build wealth.
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By: The Investor's Edge Title: How Beginners Use Hard Money Loans to Fund Fix & Flips (Hard Money Loans) Sourced From: www.youtube.com/watch?v=UGWkkhZCxKo
