Private real estate financing means finding a short-term mortgage via a privately owned business or individual person in order to purchase, carry out improvements on or refinance a property or home. Unlike bank loans, Greenwood private mortgage loans are fast closing, easy qualifying and accessible to self-employed borrowers.

This means that whether or not you have a good credit score, you've still got a good chance of receiving private money for a real estate loan if your project is viewed to be profitable, you have ample capital to use for the downpayment, you have proven yourself able in earlier real estate projects, you have sizeable equity in the property or you have an intelligible plan to pay back the balance of the loan. Combined with fast closings of just 14 days, private real estate mortgages in Greenwood may very well be the right solution for real estate investors.

Typically, investors get in contact with a private mortgage lender in Greenwood when:

1. They want to find funds to renovate a property and offer it for sale for a much higher price point or to rent it out for more money.

   For instance, we had a borrower who owned a two-unit rental. He already had plenty of equity in the house and the rent checks brought in a steady cash flow. Although several remodeling work to the property may have helped him command more rent, a bank would have turned down the loan request, since he had a credit score of a mere 520. So the borrower called Read Rock Capital (Read Rock Capital) to do a cash-out refinance that got him a loan for 65% of the home's appraised value.

2. They need to combine all their financial debts into a single payment.

   Most people know how stressful it is to take care of multiple payments each month. As a result, lots of people get a loan against their home equity to consolidate all their financial debts into one single loan.

3. They wish to make use of the equity available in an existing property to work on an additional project.

   For instance, one of our previous customers in Hawaii had a property valued in excess of a million bucks. When he was not able to secure a buyer for his property, he entered into a lease-option-to-buy contract with an interested party. The funds that stemmed from the lease paid for his ongoing mortgage payment, insurance, and property taxes. Additionally, he received a $200,000 non-refundable deposit for the three year lease agreement. Having these sureties to handle the home's expenses on a regular basis, he called Read Rock Capital for a seventy percent loan-to-value private mortgage loan to help with his next investment. This let him pay an advance on the down payment for his next investment, and at the same time repay his current mortgage.

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

   A person who invests in real estate and has a previous private loan and cannot afford the balloon payment on account of a change in circumstances can apply for refinancing from an alternative lender. A refinance will help the person avoid missing the due date for the balloon payment and avoid penalty charges.

Wanting to meet a private mortgage lender in Greenwood to go over funding programs for your next project? Complete the contact form or call us to discuss the property you have in mind.