Private real estate financing helps investors buy, remodel or refinance a home via a short-term mortgage from a privately owned firm or an individual. Unlike bank loans, Bernalillo private mortgage loans close fast, are easy to qualify for and open to self-employed individuals.

This means that even if your credit score recently went through the wringer, there is still a high likelihood of getting private money for a real estate loan provided that your investment is presumed to be profitable, you have ample capital to put towards the downpayment, you have shown yourself competent in prior real estate projects, you have considerable equity in the property or home or you have a clear plan to pay back the balance of the loan. And having fast closings of only fourteen days, private real estate mortgages in Bernalillo are a perfect alternative for real estate investors.

Frequently, clients confer with Bernalillo private mortgage lenders to provide capital for their real estate activities when:

1. A remodeling job or restoration can help to market the house at a much higher price or charge additional rent.

   E.g. one of our borrowers owned a duplex. At the time, he had a lot of equity available in the building and the rent payments brought in a steady cash flow. While some improvements to the units might have helped him command more rent, a bank would most likely have turned down his loan application, since he had a credit score of a mere 520. After he approached Read Rock Capital for a loan, we were glad to complete a cash-out refinance for 65% of the duplex's valuation.

2. They're stuck with multiple personal debts and desire to combine them.

   Many people know how stressful it is to deal with countless payments on a monthly basis. This is the reason some people make the decision to make the most of the equity in their house to combine their outstanding debts into a single loan having a single payment per month.

3. They want to unlock the existing equity in one property or home and use it to invest in a different one.

   One of our borrowers in Hawaii owned a home valued at over $1,000,000. He wanted to sell the house but that didn't happen and he eventually was forced to be content with leasing the place to an interested party, with the option to purchase it at a future date. The rental agreement payments helped him meet his current mortgage payment, property taxes and insurance. Additionally, he received a two hundred thousand dollars non-refundable downpayment for the 3-year lease agreement. These sureties meant he did not have to worry about the property's ongoing expenses, and so when a new real estate investment opportunity showed up, he reached out to Read Rock Capital and obtained a private mortgage loan at seventy percent LTV. This not only gave him adequate cash to use for a deposit on his next home, but additionally helped him repay the current mortgage.

4. They have an existing private loan and can't afford the looming balloon payment.

   If an unforeseen event hinders a person from hitting his balloon payment deadline, he can find an alternative mortgage lender to refinance. Refinancing before the term date enables the borrower to meet the due date for the balloon payment and stay clear of penalties in connection with failing to pay the balloon payment.

Hoping to discuss your investment plans with a private mortgage lender in Bernalillo? Enter your info into the contact form or call us and let's talk about the property or properties you have in mind.