With housing prices at an all-time high, fix and flip entrepreneurs can make more in profits than ever before. Last year, nearly a quarter of a million houses were flipped, and fix and flip professionals made over thirteen billion dollars! We know that engaging in this industry can be incredibly profitable, but the problem for most potential flippers is a lack of initial funds. Thankfully, many loan options exist specifically for those interested in a fix and flip career or side-hustle.

Personal Loan

Are you in relatively good financial standing but need a small amount of extra cash to get the ball rolling? If so, then a personal loan may be your best option. Fix and flip enthusiasts with good credit can easily take advantage of a personal loan. Personal loans are excellent due to the low risk and ease of application. As long as you require a maximum of $50,000 you can utilize the excellent rates under 5%.

Home Equity Loan

Another option for potential flippers is to utilize the equity built up on their own home. Using a home equity loan, fix and flip fanatics have access to some of the best rates in the industry, and the best part is they only need to pay interest on money that they have actually used, rather than paying for a lump sum as with other options. This method can also be easily combined with other financing methods to obtain the ideal amount of money for your project.

Hard Money Loans

But what if you are a potential fix and flip entrepreneur that has bad credit? A hard money loan is always an option for everyone, but it should be a last resort for most. Hard money loans are advantageous to many because they are available to all people regardless of their credit score. However, with some of the highest rates available, they prove to be somewhat of a risky endeavor for most. Additionally, hard money lenders tend to be somewhat controlling and closely observant. You often must describe in detail what the money is for and provide proof of purchases. These stipulations make hard money loans less ideal for most people.

Taking advantage of one or all of these loan options can help you kickstart your fix and flip operation in a safe and economical way. By doing this, you would have the opportunity to profit from this new, exciting, and flourishing industry. Fix and flip operations can be a great way to provide financial security for years to come.