Private real estate financing gives assistance to real estate investors who want to buy, renovate or refinance a home or property using a short-term loan from a privately owned firm or an individual. Although typical lending institutions, for example, banks will require an extended, time consuming application process and are more than likely to be reluctant to give money to a self-employed client, private mortgage loans in Wells River close fast and are easy to qualify for.

It means that no matter the caliber of your credit score, you've still got a high probability of qualifying for private money for a real estate loan as long as your real estate project is regarded as profitable, you have enough capital available for the down payment, you have demonstrated yourself able in prior real estate projects, you have sizeable equity in the property or you have a clear-cut plan to repay the loan. Combined with fast closings of only 14 days, private real estate mortgages in Wells River are an ideal choice for real estate investors.

Most borrowers speak with Wells River private mortgage lenders when:

1. A rehab or update can allow them to offer their property for a higher price or get more rent.

   Real example: one of our customers owned a 2-unit rental property. He already had a lot of equity available in the building and the monthly rent brought in a steady revenue. While some remodeling work to the units would've helped him ask for more rent, a bank would have turned down his loan application, because he had a credit score of merely 520. Accordingly, he reached out to Read Rock Capital to do a cash-out refinance and obtained a loan at 65% LTV.

2. They're stuck with multiple outstanding debts and would like to combine them.

   Most people find it stressful to manage countless payments every month. To set up a more reasonable situation, people combine all of their outstanding debts into an individual loan with one payment per month.

3. They wish to make use of the equity within their current property or home to do an additional real estate investment.

   To provide an example, a borrower located in Hawaii owned a house valued at $1.2M. He wanted to sell the house but that never materialized and he eventually had to be content with leasing the property, with an option to purchase it at a future time. The cash that came from the lease took care of his regular mortgage payment, home owner's insurance, and taxes. The person also agreed to pay him $200,000 as a down payment for the 3-year agreement. Having these assurances to handle the home's expenses on an ongoing basis, he approached Read Rock Capital to obtain a seventy percent loan-to-value private mortgage loan to help with his upcoming investment. The loan helped him afford a new investment as well as repay his original mortgage.

4. The balloon payment for a preexisting mortgage is owed soon and they are not able to pay it.

   If a person can't meet a balloon payment because of unexpected causes, he can attempt to refinance his loan with a new mortgage lender. A cash-out refinance helps the person make the balloon payment and escape fines.

Wanting to make contact with a private mortgage lender in Wells River speak about loan options for your next investment? Complete the contact form on this page or give us a call to talk about your property.