Private real estate financing entails finding a short-term loan via a privately owned business or individual person in order to buy, perform improvements on or refinance a home. Contrary to bank loans, Pittsfield private mortgage loans are fast closing, have minimal eligibility criteria and available to self-employed customers.

That's why, while you might have lousy credit, having a real estate opportunity with promise for profits, a sizeable down payment, previous experience in real estate, and a well-defined exit strategy are more crucial when being eligible for private money for a real estate loan. In addition, Pittsfield private real estate mortgages close fast to ensure that you get funding without delay, helping you close on a deal within 2-3 weeks.

Generally, customers get in contact with a private mortgage lender in Pittsfield when:

1. A rehab or renovation will make it possible to market the home for a higher price point or ask for additional rent.

   One example is an applicant who held a two-unit rental. He had a great deal of equity in the asset and the rent payments generated regular income each month. Some select home upgrades would undoubtedly allow him to raise the cost of rent, but because of a low credit score of 520, it was extremely likely that a bank would turn down the mortgage application. Right after he contacted Read Rock Capital to get a loan, we were happy to complete a cash-out refinance at 65% of the home's value.

2. They want to merge all their financial debts into a single loan.

   Countless outstanding debts with varying interest rates are often too much to handle and tough to keep tabs on. In order to arrange a more reasonable situation, some people consolidate each of their outstanding debts into an individual loan with just one payment per month.

3. They prefer to take advantage of their house's equity for a different purchase.

   As one example, a client located in Hawaii owned a property valued at $1,200,000. His plans to sell the house did not work out and he ultimately was forced to settle for leasing the property to someone, with the option to buy at a future time. The rent amount was more than enough to cover his ongoing mortgage payment, taxes and cost of insurance. The renter also consented to pay him $200,000 as a downpayment for a 3-year lease contract. Having these assurances to handle the home's bills on an ongoing basis, he phoned Read Rock Capital to obtain a seventy percent LTV private mortgage loan to help with his next purchase of an investment property. This means that he could make a deposit for his next property, and also help with his present mortgage.

4. They already have an existing loan and are not able to afford the looming balloon payment.

   If someone can't make a balloon payment resulting from unforeseen factors, he can attempt to refinance the loan with a new mortgage lender. Refinancing ahead of the term date helps you to make the deadline for the balloon payment and avoid fees and penalties associated with failing to pay the balloon payment.

In search of a private mortgage lender in Pittsfield to help you afford your investment purchase? Fill out the form or call us and let's talk about your property or properties.