Private real estate financing gives assistance to real estate investors who want to buy, renovate or refinance a property or home via a short-term mortgage loan from a private business or an individual. As opposed to bank loans, Hoboken private mortgage loans close fast, are easy to qualify for and open to self-employed individuals.

That's why, while you might have poor credit, having a real estate opportunity with good potential, a sizeable down payment, previous experience, and a clear-cut exit strategy are more crucial in terms of being approved for private money for a real estate loan. Furthermore, if you are looking for a fast closing, you will not see many options better than Hoboken private real estate mortgages.

Typically, clients get in contact with a private mortgage lender in Hoboken when:

1. They are in need of money to fix up a property and sell it at a higher price or to up the lease amount for renters.

   To illustrate, one of our customers had a twin-home / duplex. He previously built considerable equity in the property and the monthly rent checks was a regular income source. Although a few improvements to the place could have helped him charge more rent, a bank would have turned down his mortgage request, because he had a credit score of only 520. Right after he approached Read Rock Capital to obtain a loan, we were happy to do a cash-out refinance for 65% of the duplex's valuation.

2. They're stuck with numerous unsecured debts and need to consolidate them.

   Multiple debts with a variety of rates are incredibly overwhelming and difficult to manage. To put together a more manageable situation, some people combine all their debts into one single mortgage loan with just one monthly payment.

3. They want to take advantage of the existing equity in an existing home and property to work on another real estate project.

   One of Island View's customers in Hawaii had a residence worth $1.2 million. When he was not able to secure a buyer for the home, he signed a lease-option-to-buy contract with someone. The income that stemmed from the lease contract paid for his continuing mortgage bill, insurance, and property taxes. The tenant additionally gave two hundred thousand dollars in the form of a non-refundable advance payment when he signed the three year agreement. These assurances meant that he no longer had to concern himself with the property's ongoing expenses, so when a new real estate opportunity showed up, he came to Read Rock Capital and received a private mortgage loan at 70% LTV. This gave him plenty of money to use for a deposit or his next property, but additionally helped him pay down the existing mortgage.

4. They have a previous loan and are unable to afford the looming balloon payment.

   If a borrower can't pay a balloon payment due to unforeseen factors, he can seek to refinance his loan with a new loan provider. A refinance will help the person avoid missing the cut-off date for the balloon payment and avoid penalties.

Want to discuss financing alternatives with a private mortgage lender in Hoboken? Enter your info into the contact form on this page or get in touch with us via phone and let's talk about your property.