Tag Archive for: california fix and flip

Can I Refinance A Hard Money Loan?

There’s often a misconception that a hard money loan can not be refinanced. However, you do have options even when it comes to hard money loans.

There can be plenty of good reasons to refinance these types of loans. Consumers are facing challenges with all types of loans including mortgages, the increasing student loan debt crisis, and private loans.  This makes refinancing a smart move for loan holders looking to improve their monthly payments and avoid defaults.

Here’s how financial experts can walk you through refinancing a hard money loan.

Can A Hard Money Loan Be Refinanced?

Hard money loans can be refinanced. They can be refinanced through both hard money lenders and traditional lenders. A hard money loan can come with plenty of options for refinancing depending on the terms of your particular loan.

When Should You Refinance A Hard Money Loan?

There’s plenty of reasons to refinance a hard money loan. It all comes down to your financial circumstances and the goals you have for your project. Plenty of real estate investors choose refinancing as a viable option for adjusting their overall portfolio and assets.

Here’s why.

  • You need more time to complete the project or the sale of a property
  • You want to refinance your terms for better interest rates
  • You need to open up funding for your project
  • You can’t wait for a conventional loan and need funds quickly

Benefits Of Refinancing Hard Money Loans

There are several benefits for refinancing your hard money loans. The biggest of these have to do with improving your immediate financial situation. It works like this.

Refinancing your loan buys you more time and improves the situation for your investments. You can get extra time to complete a project before a loan comes due or lower your expected interest and payments. It’s all about improving your overall financial situation to open up your funds and let you complete your projects without being burdened by loan terms.

This is your financial outlook and refinancing can give you more options and more money down the road.

How To Qualify For Hard Money Loan Refinancing

In order to qualify for refining, you’ll need to have a few things in order. You’ll need all your documentation from your original loan, a strong financial plan in place, and a credit score that works with your refinancing lender.

The professionals at IMC Money can walk you through this process.

Refinancing With Professional Help

Refinancing a hard money loan is the right choice for your business. It frees up money and lowers future financial burdens. Get in touch with the loan refinancing team at IMC Money today to learn more!

A Proof Of Funds Letter In Hard Money Lending

A proof of funds letter is a document showing a potential buyer that a real estate investor has the funds that they need to close the sale. This letter often contains information from the buyer’s loan provider as well as information about their company.

These letters are standard practice for real estate investment purchases. Real estate investors should know the process of handling the proof of funds letter inside now.

This is what real estate investors should know about a proof of funds letter.

Why A Funds Proof Letter Is Important

The current housing market is going through some major changes. Even the White House has stepped in to address some of the issues impacting the housing market. With such a competitive market, sellers have started to require proof of funds letters to ensure sails will go by smoothly.

When Should I Get A Proof Of Funds Letter?

Real estate investors typically obtain their proof of funds letter before submitting an offer for a property. This allows your hard money lender to underwrite the loan as well as ensure that funds are available for the purchase. This also shows the seller that you have all of your financial ducks in a row and you’re ready to close out the purchase.

How Do I Get a Funds Proof Letter?

The process for obtaining a proof of funds letter is very straightforward.

Your first step is to reach out to your hard money lender of choice. You should find a hard money lender that has experience working with real estate investors, favorable rates, and the professionalism that you can rely on. You will then have to submit an application which may or may not include a credit check.

Your hard money lender will then be able to issue you a proof of funds letter so that you can proceed with your real estate purchase.

Property Specific Funds Proof Letters

A property specific proof of funds letter is targeted for a specific piece of real estate. This allows the seller to have more confidence and your ability to close out the purchase and gives you financial clarity for the terms and conditions of your funding.

Get The Financial Services You Need Today

You need a financial services provider with experience working with real estate investors. IMCMoney has been working with real estate investors for years and their experienced financial team can work with you to handle everything from obtaining a proof of funds letter to a hard money loan.

Reach out to IMCMoney today to learn more!

Closing Costs With A Hard Money Loan

When closing on a property or refinancing a mortgage, a lot of effort and time is required from both the lender and the borrower. During these efforts, the lender will take care of all closing costs while compensating the lending company for its time and efforts. Hard money lenders, like IMC Money, will spend hours throughout the week coordinating appraisals, certifying documents, and working with underwriters to finalize mortgage approval.

As a result of the arduous process, there are quite a few different closing costs that are associated with hard money loans. Before signing up for a hard money loan, let’s take a look at some of the most common closing costs and fees that clients must handle when closing on a deal.

True Closing Costs of Hard Money Loans

Hard money lenders like IMC Money have to adhere to a different set of standards than institutional lenders. Institutional lenders must adhere to fierce and strict criteria while working with boatloads of money. Hard money lenders operate more as brokers, arranging each transaction as if it were a unique loan. Hard money lenders, as a result, have closing costs more similar to the traditional real estate brokerage experience.

Closing costs should account for between 2% and 5% of the loan’s total amount and this sum is taken care of at the closing of the loan’s transaction.

Let’s underline the most common fees that come during the hard money lending process.

Origination Fee

This fee is earned by the lending company for their work arranging, applying, and underwriting the loan and its transaction. Originator fees are often referred to among industry insiders as ‘points’ and hard money loans tend to offer more points than conventional loans. The reasoning? Hard money lenders like IMC Money are undertaking more risk than their conventional lending counterparts.

Processing Fee

Common amongst lenders, processing fees are for the handling and delivery of all items to title companies, property record loan transactions, or escrows. Processors ensure that all paperwork has been completed as necessary.

Underwriting Fee

Hard money loans are secured by actual property as a source of collateral. To secure a collateral property for a real estate transaction, an underwriter must detail a binding legal agreement. These fees are often built into the originating fee.

Legal Fees

More complicated transactions may require lawyers to ensure the document is valid, compliant, and legal.

Tackle Hard Money Loans with IMC Money

IMC Money operates as a full-service real estate lending company for the acquisition and development of financing and hard money lending for residential and commercial developments. Originally founded in 1993, IMC Money has developed into one of the most prominent hard money lenders in the region.

Apply for a loan today with IMC Money to unlock the investment of your dreams!

2021 Holiday Season & The Real Estate Market

The 2021 holiday season is upon us and one of the biggest impacts is going to have is in the real estate market. Most people don’t consider real estate when they think about holiday shopping trends, but it’s actually one of the most heavily impacted markets. Real estate finance leaders at IMC Money know the importance of staying on top of seasonal real estate trends.

Let’s take a look at a few of the major trends we’re going to see in this year’s holiday real estate business.

Holiday Market Trends

Here’s the general wisdom you need to know when it comes to the real estate market during the holidays. The real estate market starts to drop off around Thanksgiving as people focus on seeing their family, traveling, and getting ready for the holidays.

However, things start to pick up around December 24th. Potential homebuyers are off for the holidays and they’re using some of that free time to browse their local real estate markets looking for their dream home. You can take advantage of this sudden uptick in real estate interest by making sure your listings align with this new influx and potential buyers.

Serious Buyers Start Shopping During the Holidays

You’re also more likely to find serious buyers during this time of year.

This is a combination of harsh winter weather as well as how people spend their precious holiday vacation time. People who are out looking for houses and other real estate opportunities during the holiday season are going to be more serious about potential purchases than they would be during other times of the year.

Taking Advantage of Low Holiday Interest Rates

The market for real estate loans has its own fluctuations that don’t necessarily obey seasonal changes. However, one of the interesting trends that’s held true for the past few years is that interest rates tend to dip around the holidays.

This is another reason why potential buyers start flocking to homes this time of year.

Consider Your Timing

One thing that’s true no matter what sales industry or and is that buyers tend to prefer recently listed items rather than things that have been around for a long time. You can improve your timing by updating or listing properties at midnight on the 23rd or early morning on the 24th.

One Easy Tip For Holiday Real Estate Sales

Old real estate wisdom says that you should unlist your properties during the holidays, but this just isn’t true anymore. The holidays are a prime time to update and relist real estate listings.

Need more tips and tricks for real estate sales this holiday season? Property and finance experts at IMC Money can help you get your real estate moving!


The Top 5 Fix & Flip Cities in California

California is an attractive location because of its beaches, economic opportunities, and sunny weather, along with the diverse cultures and food options, natural landscapes, and tech and entertainment industry opportunities. However, it’s also an expensive place to live. The good news is, the expense hasn’t made the state any less attractive to real estate investors. In fact, the fix and flip market is incredibly active in California. Before you get started on this type of real estate investing, it’s essential to learn about the five top cities to consider when shopping for a fix and flip investment in California.


If you’re looking for a smaller city with plenty of farmland and nature around, Modesto is the ideal location in Central California. The median home value in this city is just over $260,000, which is a nearly five percent increase over the last year. Many flippers love this area because the overall cost of buying a home is lower than many other areas of California, making it an ideal location to invest in a fix and flip project.

Rancho Cucamonga

Rancho Cucamonga is a more prominent city located in Southern California, surrounded by breathtaking mountain views. Although the area tends to be expensive with a median home value of nearly $470,000, the city offers a small-town, quiet feel, particularly when compared to the larger cities like Los Angeles. Home values are expected to continue to rise about 4.5 percent each year.


Sacramento is the state capital and is located in Northern California. It’s an excellent place to engage in fix and flip projects with an excellent return on your investment.The city offers a median home value of around $300,000 with many fix and flip investors generating an average profit of $90,000 for each home they buy and renovate. You won’t find a more affordable place to invest in real estate in the state without spending more money.


Ontario isn’t just a city in Canada. It’s also the name of a city close to Los Angeles and San Bernardino. It’s the next door neighbor to Rancho Cucamonga with home values around $387,000. However, the rate of appreciation is higher in this city at 5.2 percent, making it an excellent alternative to more expensive areas of the state.


Orange County in California is the central location for technology and education with higher incomes and a strong economy. If you have more money to invest in real estate, Irvine is the ideal location. The city boasts median home values of over $790,000, making it a much more expensive location than the other cities on our list. Fortunately, the profit potential is high because the area attracts a wealthy crowd.