Private real estate financing involves finding a short-term mortgage from a privately owned business or individual person in order to buy, perform improvements on or refinance a property. While standard lenders such as banks have an extended, drawn out application process and in all likelihood will hesitate to give money to a self-employed individual, private mortgage loans in Edmonds close fast and are easy qualifying.

This is great for investors since someone with lousy credit can obtain a private money for a real estate loan assuming that he has a deal that shows promise, he has sufficient money for a downpayment, he has demonstrated himself capable in the real estate market, and has a sensible exit strategy. Combined with fast closings of just two weeks, private real estate mortgages in Edmonds may very well be the ideal choice for ambitious real estate investors.

Usually, clients get a hold of a private mortgage lender in Edmonds when:

1. They're in search of funds to fix up a home and put it up for sale at a higher price point or to up the lease amount for tenants.

   As an illustration, one of our customers owned a two-family rental property. At the time, he had a lot of equity in the property and the monthly rent generated steady revenue. He wanted to do some improvements to the place to help maintain high rents, but a lower credit score of 520 meant that a bank would undoubtedly turn down the loan request. Right after he got into contact with Read Rock Capital to get a mortgage, we were pleased to do a cash-out refinance for 65% of the duplex's valuation.

2. They wish to consolidate their personal debts.

   Many of us know how stressful it is to take care of countless payments each and every month. As a result, numerous people do a loan from their home's equity to combine all of their outstanding debts into one loan.

3. They want to release the equity in one property or home and use it to buy a different one.

   One of Island View's customers in Hawaii had a home worth over $1,000,000. While it was challenging for him to secure a purchaser for the property, he had identified somebody who was ready to lease it with an option to purchase it. The income that came from the rental payments covered his monthly mortgage payment, insurance, and property taxes. The renter also went ahead and paid him two hundred thousand dollars for an advance payment for the three year lease. With these sureties covering the home's expenses on a recurring basis, he approached Read Rock Capital to get a seventy percent LTV private mortgage loan to aid in his next purchase of an investment property. This means that he could make the downpayment for his next investment, and also repay his current mortgage.

4. The balloon payment for a preexisting loan is due and they are not able to pay it.

   A real estate investor who already has an existing private loan and cannot pay for the balloon payment because of a change in circumstances can submit an application for refinancing from an alternative loan company. A cash-out refinance will help the person complete the balloon payment and evade consequences.

Want to discuss mortgage options with a private mortgage lender in Edmonds? Fill out the contact form on this page or call us and let's discuss your property or properties.