October 20, 2012

Housing Recovery Opens Up The Door For Home Improvement

Traditionally the home improvement industry has been on many Merchant Cash Advance funding companies prohibited list.  Especially the "old timers" that have been around since pre-2008 when the economic downturn started.  This industry got absolutely hammered resulting in very high default ratios.

Across the country the housing recovery is starting to happen.  The first homes that are being purchased are the foreclosures, auctions and short sales and these homes need the most "home improvement" to get them back in livable or rent able condition.  Typically this requires the services of the following:

  • Plumbers
  • Flooring
  • Painters
  • Kitchen re modelers
  • Stone and masonry
  • Pool and spa
  • Heating and air conditioning (HVAC)
  • Window and garage door replacement

Business that survived in home improvement and construction are now experiencing strong demand and are in search of financing to fund raw materials for their jobs.  For those business owners that survived and have decent operations now is the time to take advantage of the market and make up for the previous lean years.

Here at American Finance Solutions we have been ahead of the curve and been financing these business types over the past 24 months.  In fact these industries are turning out to now have some of the lowest default rates as well.  Clients in this segment will need to be somewhat established with a 24 month track record, but only a 500 minimum FICO is required, and the provide 12 months of bank or credit card statements since in many areas of the country their business is seasonal.

As always, AFS looks forward to assisting both our clients, partners and agents will financing solutions that are merchant-centric and building long term value.