Private real estate financing entails getting a short-term mortgage loan from a privately owned company or individual person with the intention to buy, perform improvements on or refinance a property. Whereas typical lending institutions like banks require an extended, time consuming application process and are likely to hesitate to loan money to a self-employed client, private mortgage loans in Royal Kunia close fast and are easy to qualify for.

This is great for investors because somebody with bad credit can opt for private money for a real estate loan provided that he has a promising deal, he has enough money for a down payment, he has proven himself able in real estate, and he has a good exit strategy. Furthermore, if you are looking for a fast closing, you will not come across many options better than Royal Kunia private real estate mortgages.

Mostly, clients count on Royal Kunia private mortgage lenders to fund their real estate activities when:

1. A rehab or renovation can allow them to offer the home at a higher price point or bring in additional rent.

   As an example, one of our customers owned a duplex. At the time, he had plenty of equity available in the house and the rent checks brought in a steady revenue. He sought to perform some renovation to the property to help keep his rents high, but a low credit score of 520 meant a bank would turn down the mortgage request. After he got into contact with Read Rock Capital for a mortgage, we were happy to do a cash-out refinance at 65% of the duplex's value.

2. They would like to consolidate personal debts.

   Numerous debts with a variety of lending rates are very overwhelming and tough to keep an eye on. Due to this, some individuals borrow from a property's equity to combine all of their financial debts into just one loan.

3. They wish to allocate the equity in one property or home and invest in another one.

   One of Island View's clients located in Hawaii owned a property valued at over $1,000,000. He wanted to sell the house but that did not work out and he eventually had to settle for leasing the home to an interested party, with the option to buy at a future date. The cash that came from the lease took care of his ongoing mortgage expenses, home owner's insurance, and taxes. In addition, he received a $200k non-refundable downpayment for the three year lease. With these sureties handling the property's bills on a recurring basis, he contacted Read Rock Capital to get a seventy percent LTV private mortgage loan for his subsequent investment. This enabled him to make the deposit for the new property, and at the same time pay down his existing mortgage.

4. The balloon payment for their current private mortgage is due and they can not pay it.

   If an unanticipated mishap stops someone from making his balloon payment deadline, he could find another mortgage company to refinance. A refinance will help the borrower hit the cut-off date for the balloon payment and avoid fees and penalties.

Hoping to connect with a private mortgage lender in Royal Kunia to talk about financing programs for your next real estate investment? Fill out the contact form on this page or get in touch with us via phone to talk about your property or properties.