Private real estate financing can help investors pay for, renovate or refinance a home or property via a short-term mortgage from a private firm or an individual. In contrast to loans from banks, Miami private mortgage loans are fast closing, easy qualifying and accessible to self-employed borrowers.

That is great news for investors considering that anyone with weak credit can obtain a private money for a real estate loan provided that he has a project that shows strong potential, he has sufficient cash for a downpayment, he has demonstrated himself competent in real estate, and can show a preplanned exit strategy. And having fast closings of only two weeks, private real estate mortgages in Miami may very well be the right alternative for real estate investors.

Most individuals talk with Miami private mortgage lenders when:

1. They are searching for funds to fix a property and market it for a much higher price point or to up the lease amount for renters.

   As an example, a past investor owned a duplex. He previously built up adequate equity in the property and the rent payments was a routine revenue stream. He sought to complete some improvements to the property to help maintain high rents, but a lower credit score of 520 meant a bank would turn down the loan request. Shortly after he got into contact with Read Rock Capital for a mortgage, we were pleased to do a cash-out refinance for 65% of the duplex's assessed value.

2. They're saddled with multiple outstanding debts and need to combine them.

   Countless debts with a range of interest rates can be too much to handle and difficult to keep tabs on. This is the reason a lot of people make the decision to make use of the equity in their property to combine all their unsecured debts into only one private loan having a lone monthly payment.

3. They wish to release the existing equity in one home or property and use it to buy another one.

   One of Island View's clients located in Hawaii owned a property worth $1.2 million. When he was not able to secure a buyer for his home, he inked a lease-option-to-buy arrangement with somebody. The rent amount was adequate to take care of the cost of his monthly mortgage bill, taxes and insurance payments. The tenant also gave $200k for a non-refundable downpayment as part of signing the three year lease. These sureties meant he did not have to be concerned with the home's ongoing expenses, and so when another great real estate opportunity surfaced, he reached out to Read Rock Capital and obtained a private mortgage loan at 70% loan to value. This not only gave him adequate capital to put towards a downpayment on his next home, but additionally helped him pay down the current mortgage.

4. They need assistance to meet the balloon payment for the current mortgage.

   If an unforeseen event hinders a borrower from hitting his balloon payment deadline, he can find a new mortgage company to refinance. A refinance will help the person hit the cut-off date for the balloon payment and steer clear of any fees and penalties.

Looking to discuss financing options with a private mortgage lender in Miami? Enter your info into the contact form or get in touch with us via phone to discuss your property or properties.