Countless real estate investors go with private real estate financing to acquire a new property or home, or rehab or refinance one they already own. As opposed to loans from banks, Mankato private mortgage loans are fast closing, have minimal eligibility requirements and accessible to self-employed applicants.

This is good news for real estate investors considering that even anyone with bad credit can obtain a private money for a real estate loan as long as he has a promising project, he has enough money for a down payment, he has demonstrated himself competent in real estate, and has a sensible exit strategy. Furthermore, if you want a fast closing, you won't find any options better than Mankato private real estate mortgages.

Commonly, investors reach out to a private mortgage lender in Mankato when:

1. They want to find capital to repair a home and property and sell it at a higher price point or to rent it out for more money.

   By way of example, there was this borrower with a two-family rental property. He had already built up a good amount of equity available in the property and the monthly rent checks was a routine source of income. He sought to perform some modifications to the place so that he could keep his rents high, but a poor credit score of 520 meant a bank would doubtless turn down the loan request. After he got in touch with Read Rock Capital for financing, we were able to complete a cash-out refinance at 65% of the house's valuation.

2. They would like to merge their financial debts into one loan.

   Most people find that it's stressful to take care of countless payments on a monthly basis. For this reason, some people make the decision to make use of the equity available in their property to combine all of their outstanding debts into just one private mortgage loan having a single payment per month.

3. They wish to take advantage of their property's existing equity for some other purchase.

   For instance, one of our past borrowers located in Hawaii had a place valued at over a million bucks. When he was unable to procure a buyer for the property, he entered into a lease-option-to-buy arrangement with an interested party. The cash that stemmed from the lease contract covered his continuing mortgage payment, insurance, and taxes. In addition, he was given a $200,000 non-refundable down payment for the three year lease. Using these sureties to cover the property's monthly payments on a regular basis, he called Read Rock Capital to get a 70% loan-to-value private mortgage loan to aid in his upcoming purchase of an investment property. This enabled him to make the deposit for the new property, and furthermore pay down his present mortgage.

4. The balloon payment for a previous loan is owed soon and they can not afford it.

   If someone cannot pay a balloon payment due to unexpected causes, he can seek to refinance his loan with an alternative lender. A refinance will help him avoid missing the due date for the balloon payment and prevent any consequences.

Planning to discuss your investment alternatives with a private mortgage lender in Mankato? Complete the contact form or give us a call and let's discuss the property or properties you have in mind.