Private Real Estate Mortgages in Bergenfield
Private real estate financing entails getting a short-term mortgage loan through a private firm or individual person as a way to buy, perform upgrades on or refinance a property. Bergenfield private mortgage loans have many advantages — they are fast closing, easy qualifying and additionally, are available to self-employed borrowers.
That is very good news for real estate investors since someone with weak credit can obtain a private money for a real estate loan assuming that he has a promising deal, he has enough money for a downpayment, he has proven himself capable in real estate, and has a sensible exit strategy. In addition to this, if you would like a fast closing, there are few options better than Bergenfield private real estate mortgages.
Commonly, clients get in touch with a private mortgage lender in Bergenfield when:
They need to renovate or make repairs to the home so that they can market it at an increased price point or to fetch higher rents.
One example is an applicant who held a 2-unit rental property. He had already built a good amount of equity available in the house and the monthly rent checks was a recurring source of income. He sought to do some modifications to the property to help maintain high rents, but a poor credit score of 520 meant that a bank would doubtless turn down the mortgage request. So he reached out to Read Rock Capital for a cash-out refinance and acquired financing at 65% LTV.
They would like to merge each of their financial debts into one single loan.
Countless debts with a variety of rates can be very overwhelming and difficult to keep an eye on. On that basis, many individuals get a loan from their home equity to combine each of their unsecured debts into just one loan payment.
They prefer to take advantage of their home's existing equity for another home purchase.
Here is an example. A client located in Hawaii had a property valued at $1.2M. When he could not find a buyer for the home, he entered into a lease-option-to-buy arrangement with an interested party. The rent checks were sufficient to take care of his regular mortgage payment, taxes and insurance obligations. Additionally, he received a $200,000 non-refundable down payment for the three year lease contract. Having these sureties to pay for the property's foreseeable financial obligations, he ran across a new real estate opportunity and approached Read Rock Capital for a private mortgage loan nearly 70% of the property's estimated value. The borrowed funds helped him cover the cost of a different investment as well as pay off his original mortgage.
They already have an existing mortgage and can't pay the looming balloon payment.
If an unforeseen event hinders a borrower from making his balloon payment due date, he could seek out another mortgage company to refinance. Refinancing right before the term date enables you to meet the due date for the balloon payment and avoid penalties associated with failing to pay the balloon payment.
Intending to discuss financing programs with a private mortgage lender in Bergenfield? Enter your info into the contact form or give us a call and let's talk about the project you have in mind.
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