Numerous real estate investors count on private real estate financing to purchase a new home or property, or remodel or refinance an existing one. Boston private mortgage loans have many advantages — they are fast closing, easy qualifying and additionally, are open to self-employed applicants.

That's good for real estate investors since even anyone with weak credit can apply for private money for a real estate loan as long as he has a deal that shows promise, he has enough cash for a downpayment, he has demonstrated himself able in real estate, and can show a plan for an exit strategy. What's more, Boston private real estate mortgages close fast to give you financing right away, letting you close a deal within weeks.

Frequently, clients consult Boston private mortgage lenders to loan money for their projects when:

1. A rehab or renovation will help to offer the house at a higher price point or charge more rent.

   As an example, one of our clients owned a duplex. He had already built up considerable equity in the house and the rent payments was a recurring revenue stream. Though some improvements to the property might have helped him collect higher rent, a bank would likely have turned down the loan request, because his credit score was a mere 520. When he got into contact with Read Rock Capital for a loan, we were glad to complete a cash-out refinance at 65% of the property's assessed value.

2. They need to combine each of their financial debts into one payment.

   Numerous outstanding debts with varying lending rates are incredibly overwhelming and challenging to manage. To successfully make the situation more manageable, people merge all their debts into only one loan with just one monthly payment.

3. They would like to use the existing equity in their existing home and property to do another real estate investment.

   For instance, one of Island View's past customers in Hawaii had a house appraised above a million bucks. Though it was hard for him to secure a purchaser for his house, he had found someone who was wanting to lease it with the option to buy. The income that came from the rental payments took care of his monthly mortgage bill, home owner's insurance, and taxes. In addition, he received a $200k non-refundable advance payment for the three year contract. With these sureties handling the property's expenses on a regular basis, he approached Read Rock Capital to obtain a seventy percent LTV private mortgage loan to help with his next purchase of an investment property. The money helped him finance a different investment property as well as pay down his original mortgage.

4. The balloon payment for a previous loan is owed soon and they can't pay it.

   A person who invests in real estate and has a prior private mortgage and is unable to afford the balloon payment as a result of a change of circumstances can fill out an application for refinancing from an alternative company. Refinancing right before the due date allows you to meet the due date for the balloon payment and avoid penalty charges in connection with missing the balloon payment.

Searching for a private mortgage lender in Boston to finance your investment purchase? Complete the form or get in touch with us via phone and let's discuss your project.