A lot of real estate investors rely upon private real estate financing to pay for a new home, or update or refinance one they already own. Contrary to loans from banks, East Greenwich private mortgage loans close fast, are easy to qualify for and obtainable by self-employed applicants.

That's great for investors considering that an individual with lousy credit can qualify for private money for a real estate loan given that he has a project that shows strong potential, he has enough cash for a downpayment, he has shown himself capable in real estate, and can show a good exit strategy. And having fast closings of only two weeks, private real estate mortgages in East Greenwich are a perfect choice for ambitious real estate investors.

Most real estate investors use East Greenwich private mortgage lenders when:

1. A rehab or update can help to market their property for a much higher price or fetch more rent.

   For instance, we had a borrower who owned a two-family rental. He had enough equity in the property and the rent brought in routine monthly income. While some enhancements to the place may have enabled him to ask for higher rent, a bank would undoubtedly have turned down his mortgage request, given that his credit score was merely 520. Thus, he came to Read Rock Capital to get a cash-out refinance and acquired financing at 65% LTV.

2. They would like to combine each of their unsecured debts into just one payment.

   Numerous unsecured debts with a range of rates can be very overwhelming and hard to keep tabs on. This is why numerous people make the decision to utilize the equity in their residence to merge all of their financial debts into a single private mortgage with a lone payment per month.

3. They wish to take advantage of the existing equity available in their current home and property to do another real estate project.

   By way of example, one of Island View's previous customers in Hawaii had a home valued above one million bucks. His plans to sell the house didn't happen and he finally had to be content with leasing the property to someone, with the option to buy down the road. The rental agreement payouts made it possible to meet his existing mortgage payment, taxes and insurance. He also received a $200k non-refundable deposit for the 3 year contract. These assurances meant that he did not have to be concerned about the home's ongoing financial obligations, and as a result, when another great real estate opportunity came up, he found Read Rock Capital and got a private mortgage loan at 70% loan to value. Meaning that he was able to make a down payment for the new property, and also repay his present mortgage.

4. They want assistance to satisfy the balloon payment for the existing private loan.

   A real estate investor who has a prior private mortgage loan and isn't able to pay for the balloon payment caused by a change in circumstances can apply for refinancing from a different company. Refinancing before the term date helps you to meet the deadline for the balloon payment and stay clear of fines associated with failing to make the balloon payment.

Trying to find a private mortgage lender in East Greenwich to help you afford your investment purchase? Fill out the form or call us and let's discuss your property.