Private real estate financing can help investors purchase, renovate or refinance a property or home utilizing a short-term loan from a private business or an individual. Although conventional lending institutions such as banks require a prolonged, drawn out application process and are more than likely to be reluctant to lend money to a self-employed individual, private mortgage loans in Miami Beach close fast and have minimal eligibility criteria.

That means that even if your credit score just went through the wringer, you've still got a high probability of obtaining private money for a real estate loan if your real estate project is deemed to be profitable, you have sufficient money available for the downpayment, you have proven yourself competent in real estate previously, you have significant equity in the property or you can show a well-defined plan to pay back the balance of the loan. Besides, if you're searching for a fast closing, there are no better options than Miami Beach private real estate mortgages.

Typically, people reach out to a private mortgage lender in Miami Beach when:

1. They are in need of capital to repair a home and market it at a much higher price point or to rent it out for more money.

   By way of example, we had a borrower with a two-family rental. He already retained a considerable amount of equity in the property and the monthly rent brought in a steady revenue. He desired to perform some renovation to the place to be able to keep his rents high, but a below average credit score of 520 meant that a bank would doubtless turn down his mortgage request. After he got in contact with Read Rock Capital to get financing, we were happy to do a cash-out refinance for 65% of the house's valuation.

2. They would like to consolidate unpaid debts.

   A lot of people find that it's stressful to make multiple payments every month. Due to this, many individuals get a loan from their home's equity to merge all their unsecured debts into one mortgage loan.

3. They wish to use their home's existing equity for some other home purchase.

   For instance, one of our customers located in Hawaii had a house valued at over a million dollars. He wanted to sell the house but that did not happen and he eventually was forced to be content with leasing the house to an interested party, with the option to purchase it at a future date. The lease income helped him meet his current mortgage payment, taxes and homeowner's insurance. Additionally, he received a $200k non-refundable down payment for the three year contract. With the help of these sureties to cover the property's foreseeable bills, he came across another promising real estate opportunity and contacted Read Rock Capital for a private mortgage loan nearly 70% of the property's value. This gave him more than enough cash to use for a down payment or his next property, but also helped him repay the current mortgage.

4. The balloon payment for a prior mortgage is owed soon and they are not able to afford it.

   If a borrower cannot make a balloon payment as a result of unexpected factors, he can try to refinance the loan with a new lending company. A refinance can help the person avoid missing the due date for the balloon payment and steer clear of any penalty charges.

Do you need a private mortgage lender in Miami Beach to fund your real estate investment? Submit the contact form or call us to discuss the property or properties you have in mind.