Private real estate financing helps investors buy, fix up or refinance a home or property via a short-term loan from a privately owned company or an individual. Although traditional lending institutions, for example, banks necessitate a lengthy, drawn out application process and in all likelihood will think twice about lending money to a self-employed borrower, private mortgage loans in Fort Myers close fast and are easy qualifying.

Thus, in case you have poor credit, having a promising real estate opportunity, a sizeable down payment, previous experience, and a well-defined exit strategy are much more important in terms of being approved for private money for a real estate loan. Combined with fast closings of 14 days, private real estate mortgages in Fort Myers are the right alternative for ambitious real estate investors.

Mostly, people consult Fort Myers private mortgage lenders to supply capital for their real estate activities when:

1. They would like to remodel or fix up the property or home so that they can offer it at an increased price point or to ask for higher rents.

   By way of example, we had this borrower who owned a two-family rental. He already retained a good deal of equity in the property and the rent payments brought in a steady cash flow. Some select home improvements would undoubtedly help him boost his rents, but because of a below average credit score of 520, it was extremely certain for a bank to turn down his loan application. Right after he got in touch with Read Rock Capital to get a mortgage, we were able to complete a cash-out refinance for 65% of the property's market value.

2. They need to combine personal debts.

   Multiple unsecured debts with a range of interest rates can be very overwhelming and challenging to keep track of. To help set up a more workable situation, people combine all of their unsecured debts into one single loan with one payment per month.

3. They wish to employ the existing equity in one home or property and acquire a different one.

   One of our customers in Hawaii owned a home worth $1M. When he failed to procure a buyer for the house, he agreed to a lease-option-to-buy deal with an interested party. The rental agreement income helped him meet his current mortgage, taxes and homeowner's insurance. He also received a $200k non-refundable deposit for the three year contract. Having these sureties to handle the home's financial obligations on a regular basis, he approached Read Rock Capital to get a seventy percent loan-to-value private mortgage loan for his subsequent real estate investment. This means that he could make the downpayment for his next property, and also help with his existing mortgage.

4. They already have an existing loan and are not able to afford the looming balloon payment.

   If an unexpected mishap prevents someone from hitting his balloon payment deadline, he can approach another mortgage company to refinance. A refinance will help him hit the due date for the balloon payment and steer clear of any consequences.

Do you need a private mortgage lender in Fort Myers to help you afford your investment purchase? Submit the contact form or give us a call and let's discuss the property you have in mind.