Private real estate financing entails finding a short-term loan from a privately owned firm or individual person to be able to buy, carry out improvements on or refinance a home or property. East Haven private mortgage loans have many advantages — they are fast closing, easy qualifying and additionally, are available for self-employed borrowers.

That is very fortunate for real estate investors considering that even someone with poor credit can qualify for private money for a real estate loan assuming that he has a deal that shows strong potential, he has sufficient cash for a down payment, he has demonstrated himself competent in real estate, and has a plan for an exit strategy. And having fast closings of fourteen days, private real estate mortgages in East Haven may very well be the right choice for ambitious real estate investors.

In general, investors get in touch with a private mortgage lender in East Haven when:

1. They want to remodel or make repairs to the property so they can offer it for sale at an increased price or to ask for higher rents.

   Real example: one of our borrowers operated a two-unit rental. He previously built adequate equity available in the property and the rent payments was a recurring income source. Although a few improvements to the units may have helped him charge higher rent, a bank would most likely have turned down the mortgage request, because he had a credit score of a mere 520. Consequently, the borrower approached Read Rock Capital (Read Rock Capital) to do a cash-out refinance which in turn gave him financing for 65% of the duplex's appraised value.

2. They have numerous debts and prefer to consolidate them.

   Numerous unsecured debts with varying lending rates can be extremely overwhelming and challenging to keep an eye on. Due to this, some individuals borrow from their home equity to consolidate their debts into a single manageable payment.

3. They want to utilize the equity within an existing house to work on a different project.

   One of our borrowers located in Hawaii had a residence worth $1.2 million. When he failed to procure a buyer for his property, he signed a lease-option-to-buy contract with an interested party. The rent amount was enough to pay for the cost of his monthly mortgage bill, property taxes and cost of insurance. Additionally, he was given a two hundred thousand dollars non-refundable deposit for the three year lease contract. Having these assurances to take care of the home's foreseeable bills, he ran across a new real estate opportunity and approached Read Rock Capital for a private mortgage loan close to 70% of the home's valuation. This means that he was able to make the downpayment for the new property, and also repay his present mortgage.

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

   If someone can't meet a balloon payment as a result of unanticipated causes, he can attempt to refinance the loan with an alternative lending company. Refinancing prior to the term date helps the borrower to make the due date for the balloon payment and avert any penalty charges related to failing to make the balloon payment.

Searching for a private mortgage lender in East Haven to fund your real estate investment? Fill out the contact form on this page or call us and let's talk about the project you have in mind.