Lead Funding isn’t just a hard money lender. We are experienced in all facets of real estate. Our “holistic” approach assists small and large real estate investors. In order to make the most of your hard money loan we provide free industry forms such as contractor agreements and lien releases, free assistance with valuations, remodeling ideas, and local knowledge of communities.
We succeed when you succeed and an organized, thoughtful approach to your budget and project is crucial to your success. As margins get squeezed due to increased competition, you have to be smarter on where and how you spend (and save) your money. REI/Kit has identified three phases in in house flipping – Purchase, Sale, and Holding Phase; Planning Phase; and Rehab Phase – and 23 tips in each phase where you can save money.
Purchase, Sale and Holding Phase – These are easy costs you can control to improve your margins before you even get into the flip.
1. Get the correct purchase price in the first place
2. Negotiate rehab bids with more than one contractor
3. Shop around and negotiate with your hard money lender
4. Negotiate commission with realtors
5. Consider getting a real estate license
6. Negotiate the wholesaler fee
7. Shop around for title companies
8. Get an inspection without a report
9. Use a good credit card with cashback rewards
Planning Phase – It’s important to order your tasks so you minimize the amount of time holding the property. A clear-cut timeline is critical for staying on budget and keeping your overall costs low.
1. Create a timeline for construction tasks
2. Don’t over improve
Rehab Phase – Save money on materials.
1. Rent a larger dumpster
2. Look at scratch and dent stores for appliances
3. Use discontinued flooring material
4. Use remnants for countertops and vanities
5. Use re-store/recyclling warehouses
6. Combine neutral paints
7. Become a Home Depot Pro Member
8. Consider Renting Tools
9. Craigslist to sell and buy
10. Check out clearance racks for office supplies to materials for staging your home
11. Repaint cabinets
12. Reface or only change the cabinet doors
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Lead Funding is proud to be a direct lender to local investors providing competitive rates, quick-closings (most loans within a few days) and complimentary tools and services. We lend against most forms of real estate: residential, commercial, and land. Lead Funding does not require tax returns, income verification, or pre-sales (for builders), and rarely has limits on use of proceeds.