A lot of real estate investors use private real estate financing to pay for a new property, or update or refinance an existing one. As opposed to loans from banks, Lake Stevens private mortgage loans are fast closing, have minimal eligibility requirements and offered to self-employed applicants.

So while it's possible you have bad credit, having a promising opportunity, a substantial downpayment, past real estate experience, and a well-defined exit strategy are more crucial when it comes to being qualified for private money for a real estate loan. In addition, the fast closing Lake Stevens private real estate mortgages supply you with funding right away, letting you close within weeks.

Frequently, customers count on Lake Stevens private mortgage lenders to lend money for their projects when:

1. They need to renovate or repair the home in order to offer it for sale at an increased price point or to charge higher monthly rental fees.

   To illustrate, a past client had a twin-home / duplex. He held enough equity in the property and the rent payments brought in regular monthly income. Although a few upgrades to the units could have helped him collect higher rent, a bank would undoubtedly have turned down the loan request, given that he had a credit score of a mere 520. Accordingly, he reached out to Read Rock Capital to get a cash-out refinance and obtained a loan at 65% LTV.

2. They want to merge each of their debts into just one loan.

   Many people find that it's stressful to take care of countless payments every month. To make the situation more manageable, some people consolidate their debts into an individual line of credit with one payment per month.

3. They want to utilize the existing equity available in an existing home to do another real estate project.

   One of Island View's clients in Hawaii had a home valued at $1M. He wanted to sell the house but that never materialized and he eventually was forced to be satisfied with leasing the property to an interested party, with the option to buy at a later time. The revenue that came from the lease contract paid for his monthly mortgage payment, insurance, and taxes. He also received a $200k non-refundable deposit for the 3-year agreement. With these sureties to take care of the property's foreseeable bills, he came across a new real estate opportunity and got into contact with Read Rock Capital for a private mortgage loan close to 70% of the home's valuation. The borrowed funds helped him finance his next investment and in addition, pay down his primary mortgage.

4. The balloon payment for a previous loan is due and they are unable to pay it.

   If an unforeseen incident prevents a borrower from making his balloon payment due date, he could seek out a new loan company to refinance. A refinance can help the person hit the cut-off date for the balloon payment and prevent any penalty charges.

Looking to discuss loan programs with a private mortgage lender in Lake Stevens? Complete the form on this page or give us a call and let's talk about the property or properties you have in mind.