A lot of real estate investors depend on private real estate financing to pay for a new home or property, or renovate or refinance one they already have. While typical lending institutions like banks will require a prolonged, drawn out application process and are likely to hesitate to loan money to a self-employed borrower, private mortgage loans in Albany close fast and have minimal eligibility requirements.

That means that even if you do not have a great credit score, you still have a high probability of obtaining private money for a real estate loan assuming that your project is presumed to be profitable, you have sufficient money available for the downpayment, you have demonstrated yourself competent in the real estate market previously, you have considerable equity in the property or home or you have a well-defined plan to pay off the loan. In addition to this, if you would like a fast closing, there are few options better than Albany private real estate mortgages.

Often, customers count on Albany private mortgage lenders to fund their projects when:

1. A rehab or renovation will make it possible to sell their property for a higher price or charge extra rent.

   E.g. a past borrower owned a duplex. He'd already built up adequate equity available in the asset and the monthly rent checks was a regular revenue stream. Some choice home enhancements would allow him to bump up his rents, but with a lower credit score of 520, it was extremely certain for a bank to turn down his mortgage request. So he turned to Read Rock Capital to get a cash-out refinance and acquired a loan at 65% LTV.

2. They would like to combine all of their unsecured debts into one loan.

   Many people know how stressful it is to take care of multiple payments on a monthly basis. Due to this fact, some individuals do a loan from their home equity to merge all their unsecured debts into just one loan.

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

   Here is an example. A client located in Hawaii owned a property valued at $1,200,000. When he was not able to secure a buyer for his home, he agreed to a lease-option-to-buy deal with someone. The lease payments served to meet his current mortgage payment, property taxes and homeowner's insurance. In addition, he received a two hundred thousand dollars non-refundable downpayment for the three year lease contract. With the help of this collateral to take care of the home's foreseeable expenses, he came across a new investment opportunity and approached Read Rock Capital for a private mortgage loan close to 70% of the property's appraised value. This not only gave him adequate cash to use for a deposit or his next home, but additionally made it easier for him to deal with the existing mortgage.

4. The balloon payment for a preexisting loan is due and they cannot afford it.

   A person who invests in real estate and currently has an existing private mortgage loan and is not able to pay for the balloon payment thanks to a change in circumstances can fill out an application for refinancing from an alternative loan company. Refinancing ahead of the term date helps you to meet the deadline for the balloon payment and avoid penalties associated with failing to make the balloon payment.

Want to discuss your financing alternatives with a private mortgage lender in Albany? Complete the form or give us a call to talk about the property you have in mind.