Private real estate financing entails getting a short-term mortgage through a privately owned firm or individual person with the intention to buy, perform upgrades on or refinance a home. Contrary to bank loans, Middletown private mortgage loans are fast closing, have minimal eligibility criteria and open to self-employed borrowers.

This is great news for investors because anyone with poor credit can apply for private money for a real estate loan as long as he has a promising deal, he has adequate cash for a downpayment, he has shown himself capable in past real estate investments, and has a plan for an exit strategy. In addition to this, if you are looking for a fast closing, you will not find many options better than Middletown private real estate mortgages.

Often, people ask Middletown private mortgage lenders to fund their endeavors when:

1. A remodeling job or update will help them sell their property for a much higher price or get more rent.

   To illustrate, one of our clients owned a twin-home / duplex. He already had a lot of equity in the house and the rent generated steady income. A handful of choice home enhancements would allow him to increase the cost of rent, but having a low credit score of 520, it was extremely probable for a bank to turn down the mortgage request. So he reached out to Read Rock Capital to get a cash-out refinance and acquired financing at 65% LTV.

2. They're stuck with multiple unsecured debts and desire to consolidate them.

   Many of us find that it's stressful to manage countless payments each and every month. To successfully set up a more workable situation, people combine all their financial debts into a single loan with just one monthly payment.

3. They prefer to employ the equity in one property or home and buy a different one.

   As an illustration, a borrower in Hawaii owned a house appraised at $1.2M. When he was unable to find a buyer for his home, he signed a lease-option-to-buy deal with an interested party. The rental agreement payments served to meet his existing mortgage, property taxes and insurance. The renter also included $200,000 for a non-refundable down payment when he signed the 3-year contract. These assurances meant he no longer needed to concern himself with the property's ongoing expenses, and thus, when a new real estate opportunity surfaced, he found Read Rock Capital and got a private mortgage loan at 70% LTV. Meaning that he was able to make his deposit for the new investment, and also repay his present mortgage.

4. They have an existing mortgage and are unable to pay the pending balloon payment.

   If a person cannot pay a balloon payment due to unanticipated factors, he can attempt to refinance the loan with another mortgage lender. A cash-out refinance will help the person pay the balloon payment and escape penalty.

Looking for a private mortgage lender in Middletown to fund your real estate investment? Fill out the form or give us a call and let's talk about your property.