Settling on a real estate investment approach that aligns with your personal and professional goals is a challenging task—but luckily the experts at JCAP Private Lending have made two of the most popular strategies financially viable and accessible thanks to their intuitive, streamlined fix-and-flip and ground-up construction programs. Here is a closer look at both approaches to the real estate investing industry and how our loans create favorable outcomes for investors of all experience levels and budgets.
GROUND UP LOANS
Ground-up development involves constructing a real estate asset essentially from scratch. The starting point is typically either a bare tract of open land or the complete demolishment of a pre-existing structure. Although fix-and-flip projects are less expensive from an investor’s perspective, there are several perks that ground-up construction offers that could make it the perfect fit for your investment strategy. First you get uncapped flexibility in terms of design and project scope. If you are focused on commercial properties, you also have the option of building out your new project in phases in a manner that suits your budget—you can scale your space in accordance with your business growth. Additionally, it is usually simpler to remain compliant with building standards and codes established by local governments if you are constructing your structure from the ‘ground up” as opposed to renovating an older building. Investors have more time to plan well in advance for building code issues and work them into their project design to allow for an overall smoother process. JCAP Private Lending offers a fast approval process for both commercial and residential ground-up construction projects with flexible terms and competitive rates. We can help you break ground on an exciting new property by getting you the capital you need when you need it.
There are a number of appealing aspects that make fix-and-flip investing h a popular strategy. House flipping involves acquiring a property with the intent of renovating it to some extent and then reselling it for a profit as opposed to retaining it for long-term appreciation. It’s a booming sector of the real estate industry—with reports indicating that investors realized an average gross profit of $66,300 per flipped property in 2020. Fix-and-flip projects offer a high potential payday, but only if investors can keep the project on time and on-budget. The nationwide shortage in housing inventory coupled with the mass migration away from urban centers due to COVID-19 have collectively increased the demand for affordable housing options in all markets—which is great news for aspiring investors. Partnering with Jcap Private Lending on your next fix-and-flip project is an easy decision—here are some of the benefits we have to offer:
Efficiency: We offer a quick approval timeline that takes just a fraction of the time it takes for conventional banks. We typically approve loans in a matter of days as opposed to the weeks or months it takes traditional lenders and our process entails far less paperwork—cutting back on the administrative burden and stress that are normally associated with the loan approval process.
Flexibility: Properties ranging in condition are still eligible for fix-and-flip financing. Regardless of whether the asset is bank owned, a short sale, foreclosure or run-down, we are open to working with borrowers who have a viable plan for a successful property flip—something that a majority of banks are simply not willing to do.
Resources: With loan amounts ranging from $300,000 to $3 million, we have the funds to support projects of all sizes.
JCAP PRIVATE LENDING: OPPORTUNITY AWAITS
We are proud to announce the launch of our Homebuilder Loyalty program for both fix-and-flip and ground-up investment projects. The initiative offers reduced rates, pre-approved lending, express services, and dedicated communication from your Jcap Private Lending loan officer in addition to access to our customized second trust deed program. Contact us today to learn more about this new opportunity as well as how we can assist you in accomplishing your real estate investment goals.