Private real estate financing entails obtaining a short-term mortgage loan via a privately owned company or individual with the intention to purchase, carry out upgrades on or refinance a property. Fountain private mortgage loans have many advantages — they close fast, are easy to qualify for and additionally, are open to self-employed borrowers.

Meaning that even if you do not have a great credit score, you've still got a high probability of qualifying for private money for a real estate loan provided that your undertaking is deemed to be profitable, you have enough money reserved for the down payment, you have proven yourself able in earlier real estate ventures, you have considerable equity in the property or home or you can show a clear plan to pay back the balance of the loan. And with fast closings of just two weeks, private real estate mortgages in Fountain may very well be the perfect choice for ambitious real estate investors.

Typically, customers get in contact with a private mortgage lender in Fountain when:

1. They want to renovate or make repairs to the property or home so they can offer it for sale at a higher price point or to fetch higher monthly rental fees.

   Real example: one of our applicants held a two-unit rental property. At the time, he retained a lot of equity available in the house and the monthly rent delivered steady revenue. Though some upgrades to the property would have helped him collect higher rent, a bank would likely have turned down the mortgage application, considering that he had a credit score of merely 520. Right after he got in touch with Read Rock Capital to obtain a loan, we were happy to complete a cash-out refinance for 65% of the duplex's assessed value.

2. They've got numerous debts and want to consolidate them.

   The majority of people think it is stressful to manage numerous payments every month. To help arrange a more reasonable situation, people combine all of their debts into one single loan with just one monthly payment.

3. They wish to employ the equity in one property and use it to purchase a different one.

   For example, a homeowner in Hawaii owned his residence which was appraised at $1,200,000. When he was not able to secure a buyer for the home, he signed a lease-option-to-buy deal with someone. The lease payouts helped him meet his existing mortgage, property taxes and homeowner's insurance. He also was given a $200,000 non-refundable advance payment for the 3-year agreement. With these assurances to pay for the house's foreseeable bills, he discovered a new real estate opportunity and contacted Read Rock Capital to obtain a private mortgage loan nearly 70% of the property's estimated value. This not only gave him plenty of capital to put towards a downpayment on his next investment, but additionally helped him pay down the current mortgage.

4. The balloon payment for an existing loan is owed soon and they are unable to handle it.

   If someone cannot make a balloon payment because of unexpected causes, he can make an effort to refinance his loan with a new loan provider. A refinance will help the borrower avoid missing the cut-off date for the balloon payment and steer clear of any penalty charges.

Hoping to make contact with a private mortgage lender in Fountain to go over loan alternatives for your upcoming project? Enter your info into the contact form or get in touch with us via phone to talk about the property or properties you have in mind.