Many real estate investors rely on private real estate financing to buy a new home or property, or rehab or refinance one they already have. While traditional lending institutions such as banks will require a prolonged, drawn out application process and are likely to hesitate to offer money to a self-employed customer, private mortgage loans in Alexandria close fast and are easy to qualify for.

That is very good news for real estate investors because an individual with bad credit can qualify for private money for a real estate loan assuming that he has a promising deal, he has sufficient money for a down payment, he has shown himself capable in the real estate market, and can show a plan for an exit strategy. And having fast closings of fourteen days, private real estate mortgages in Alexandria are a perfect solution for real estate investors.

Most often, customers rely upon Alexandria private mortgage lenders to supply capital for their real estate activities when:

1. A rehab or restoration will make it possible to sell their property at a much higher price point or ask for more rent.

   E.g. a past borrower had a duplex. He had already built considerable equity available in the asset and the rent was a routine revenue stream. He sought to complete some renovation to the property in order to keep his rents high, but a below average credit score of 520 meant a bank would undoubtedly turn down the loan application. Consequently, the client contacted Read Rock Capital (Read Rock Capital) to execute a cash-out refinance which provided him financing for 65% of the property's market value.

2. They've got multiple unsecured debts and want to consolidate them.

   A lot of people find it stressful to take care of numerous payments on a monthly basis. To help arrange a more workable situation, people merge each of their unsecured debts into a single line of credit with one payment per month.

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

   Here is an example. A borrower in Hawaii had his residence which was appraised at $1.2M. His plans to sell the house didn't happen and he ultimately had to be content with leasing the house, with the option to purchase it at a future date. The rental agreement payouts made it possible to meet his current mortgage payment, property taxes and homeowner's insurance. The tenant additionally gave $200,000 towards a non-refundable downpayment as part of signing the 3 year lease. Having these sureties to handle the home's financial obligations on a regular basis, he phoned Read Rock Capital for a seventy percent loan-to-value private mortgage loan to help with his upcoming purchase of an investment property. This not only gave him enough money to put towards a downpayment or his next property, but also made it easier for him to deal with the current mortgage.

4. They have a previous private loan and can't afford the looming balloon payment.

   A real estate investor who currently has an existing private loan and cannot afford the balloon payment as a result of a change in circumstances can fill out an application for refinancing from a new loan company. A cash-out refinance helps you make the balloon payment and evade fines.

Searching for a private mortgage lender in Alexandria to fund your real estate investment? Fill out the form or give us a call and let's talk about the property you have in mind.