Private real estate financing entails getting a short-term mortgage loan via a privately owned company or individual person with the intention to buy, perform upgrades on or refinance a home or property. While standard lending institutions such as banks require an extended, time consuming application process and are likely to be reluctant to give money to a self-employed individual, private mortgage loans in Moundsville close fast and are easy qualifying.

That's good for investors considering that even an individual with lousy credit can qualify for private money for a real estate loan as long as he has a project that shows promise, he has plenty of cash for a downpayment, he has proven himself capable in prior real estate projects, and has a good exit strategy. And with fast closings of just fourteen days, private real estate mortgages in Moundsville may very well be the right choice for serious real estate investors.

Generally, investors seek out a private mortgage lender in Moundsville when:

1. A remodeling job or renovation can allow them to market the house for a much higher price or fetch additional rent.

   For instance, we had this borrower who owned a two-unit rental property. He already had a considerable amount of equity available in the property and the rent checks delivered steady income. He sought to complete some improvements to the property to help keep his rents high, but a lower credit score of 520 meant a bank would undoubtedly turn down the mortgage application. Right after he got in touch with Read Rock Capital to obtain a mortgage, we were able to do a cash-out refinance for 65% of the property's market value.

2. They need to merge all their financial debts into one single payment.

   Countless unsecured debts with a variety of interest rates are often too much to handle and challenging to keep tabs on. This is why many people choose to make the most of the equity in their property to combine all of their financial debts into only one private mortgage with a single monthly payment.

3. They want to employ the equity in one home and use it to purchase a different one.

   One of Island View's borrowers located in Hawaii owned a property valued at over $1,000,000. Since it was tough for him to find a buyer for the home, he had a person that was ready to lease it with the option to purchase it. The income that came from the lease contract took care of his regular mortgage expenses, home owner's insurance, and property taxes. The tenant furthermore agreed to pay him 200k as a downpayment for the 3-year agreement. Using these assurances to handle the property's monthly payments on a recurring basis, he approached Read Rock Capital to obtain a 70% loan-to-value private mortgage loan to help with his subsequent investment. This not only gave him plenty of capital to put towards a down payment on his next property, but also made it easier for him to repay the existing mortgage.

4. They need help to satisfy the balloon payment for the current loan.

   If someone is unable to pay a balloon payment because of unforeseen causes, he can make an effort to refinance the loan with another lender. Refinancing prior to the due date helps the borrower to make the due date for the balloon payment and stay clear of penalties related to missing the balloon payment.

Looking to connect with a private mortgage lender in Moundsville to discuss financing programs for your next real estate investment? Submit the contact form on this page or get in touch with us via phone and let's discuss the property you have in mind.