Private real estate financing gives assistance to real estate investors who want to pay for, renovate or refinance a property or home utilizing a short-term loan from a privately owned company or an individual. Unlike loans from banks, Bethlehem private mortgage loans are fast closing, easy qualifying and obtainable by self-employed individuals.

That's great news for investors considering that somebody with lousy credit can obtain a private money for a real estate loan assuming that he has a project that shows promise, he has plenty of money for a down payment, he has shown himself capable in prior real estate projects, and can show a good exit strategy. Additionally, Bethlehem private real estate mortgages close fast to grant you funding without delay, allowing you to close a deal within weeks.

Mostly, borrowers consult Bethlehem private mortgage lenders to loan money for their projects when:

1. They need to renovate or fix up the property or home so that they can offer it for sale at a much higher price or to fetch higher monthly rental fees.

   For instance, there was this customer who owned a 2-unit rental. At the time, he retained a lot of equity available in the property and the rent checks brought in a steady income. While several improvements to the place may have helped him command higher rent, a bank would definitely have turned down the mortgage application, since he had a credit score of down at 520. After he approached Read Rock Capital to obtain financing, we were pleased to do a cash-out refinance at 65% of the home's appraised value.

2. They need to combine all of their debts into a single loan.

   A lot of people know how stressful it is to make multiple payments each and every month. To put together a more manageable situation, people consolidate their debts into just one loan with one payment per month.

3. They wish to use their home's existing equity for an additional purchase.

   For instance, one of our customers located in Hawaii had a house valued at more than one million dollars. When he failed to procure a buyer for the home, he agreed to a lease-option-to-buy deal with someone. The lease income served to meet his current mortgage, property taxes and insurance. The tenant additionally included $200,000 in the form of a non-refundable downpayment as part of signing the 3 year contract. Using these assurances to take care of the property's financial obligations on a regular basis, he called Read Rock Capital to get a seventy percent loan-to-value private mortgage loan to aid in his subsequent investment. The financing helped him put enough money towards a different investment as well as pay down his original mortgage.

4. They already have an existing loan and cannot afford the pending balloon payment.

   If an unanticipated incident prevents someone from meeting his balloon payment deadline, he could find an alternative loan company to refinance. A refinance will help the person hit the due date for the balloon payment and avoid fees and penalties.

Are you looking for a private mortgage lender in Bethlehem to help you afford your investment purchase? Fill out the form on this page or give us a call to discuss the property or properties you have in mind.