Private real estate financing helps investors purchase, renovate or refinance a property utilizing a short-term loan from a privately owned business or an individual. Poquoson private mortgage loans have many advantages — they close fast, are easy to qualify for and additionally, are available to self-employed individuals.

It means that regardless of whether you have a good credit score, you still have a good chance of receiving private money for a real estate loan assuming that your investment is deemed to be profitable, you have sufficient money to set aside for the down payment, you have demonstrated yourself capable in past real estate projects, you have substantial equity in the property or home or you can show a clear-cut plan to repay the loan. In addition, the fast closing Poquoson private real estate mortgages supply you with funding without delay, allowing you to close a deal within weeks.

Often, clients consult Poquoson private mortgage lenders to fund their real estate activities when:

1. A rehab or restoration can help them market the home at a much higher price point or charge more rent.

   One example is an applicant who held a two-family rental property. He already had a significant amount of equity available in the building and the rent brought in a steady revenue. While several upgrades to the units may have helped him ask for higher rent, a bank would have turned down the loan request, because his credit score was down at 520. So he reached out to Read Rock Capital to do a cash-out refinance and got financing at 65% LTV.

2. They need to merge all of their financial debts into a single payment.

   Countless unsecured debts with different lending rates can be extremely overwhelming and tough to keep track of. In order to make the situation more reasonable, people consolidate all their debts into only one line of credit with just one payment per month.

3. They wish to utilize the equity within an existing house to work on a different real estate project.

   One of Island View's borrowers in Hawaii had a property valued at $1.2 million. He wanted to sell the house but that never transpired and he ultimately was forced to be satisfied with leasing the house to an interested party, with an option to buy at a future date. The money that came from the rent took care of his ongoing mortgage payment, insurance, and taxes. Additionally, he was given a $200,000 non-refundable advance payment for the 3 year contract. The signed agreement meant he did not have to be concerned with the property's future financial obligations, so when a new real estate opportunity showed up, he found Read Rock Capital and obtained a private mortgage loan at 70% loan to value. This not only gave him plenty of capital to put towards a down payment or his next property, but also helped him deal with the current mortgage.

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

   If a borrower can't pay a balloon payment because of unanticipated factors, he can make an effort to refinance the loan with another lending company. Refinancing before the due date allows the borrower to make the due date for the balloon payment and avert any fines in connection with failing to make the balloon payment.

Intending to discuss your financing options with a private mortgage lender in Poquoson? Submit the form on this page or give us a call to discuss your property.