Private real estate financing involves obtaining a short-term mortgage loan from a privately owned firm or individual person as a way to buy, perform improvements on or refinance a home or property. Cape Coral private mortgage loans have many advantages — they close fast, are easy to qualify for and are also available for self-employed applicants.

Meaning that even if you don't have a very good credit score, you've still got a good chance of getting private money for a real estate loan as long as your undertaking is viewed to be profitable, you have adequate money reserved for the down payment, you have shown yourself capable in real estate previously, you have substantial equity contained in the home or property or you have a clear plan to pay off the loan. And with fast closings of just two weeks, private real estate mortgages in Cape Coral are an ideal solution for ambitious real estate investors.

Often, borrowers rely on Cape Coral private mortgage lenders to fund their projects when:

1. A rehab or restoration will help them sell the home for a higher price point or ask for extra rent.

   One example is a client who held a two-unit rental. He had a great deal of equity in the asset and the rent payments brought in routine monthly income. Though several remodeling work to the units could have helped him ask for higher rent, a bank would likely have turned down the mortgage application, because he had a credit score of down at 520. Hence, the client approached Read Rock Capital (Read Rock Capital) to complete a cash-out refinance which got him a loan for 65% of the property's assessed value.

2. They're stuck with numerous personal debts and need to consolidate them.

   Most people know how stressful it is to make multiple payments each month. This is why many people decide to take advantage of the equity available in their property to combine each of their outstanding debts into a single loan which has a lone monthly payment.

3. They want to employ the existing equity in one home or property and use it to purchase another one.

   One of Island View's clients in Hawaii owned a residence valued at $1M. When he failed to secure a buyer for his home, he agreed to a lease-option-to-buy deal with an interested party. The amount of rent was more than enough to handle the cost of his monthly mortgage bill, taxes and insurance obligations. The person furthermore agreed to pay him 200k for a downpayment for the 3 year lease contract. These assurances meant that he no longer had to concern himself with the property's ongoing financial obligations, and so when a new real estate investment opportunity came up, he came to Read Rock Capital and received a private mortgage loan at seventy percent loan to value. This means that he could make his deposit for the new property, and also repay his present mortgage.

4. They want assistance to satisfy the balloon payment for the current mortgage.

   A person who invests in real estate and has a prior private mortgage and isn't able to afford the balloon payment on account of a change of circumstances can apply for refinancing from another lender. A refinance will help him avoid missing the cut-off date for the balloon payment and steer clear of any fees and penalties.

Intending to discuss loan programs with a private mortgage lender in Cape Coral? Complete the contact form on this page or call us and let's talk about the project you have in mind.