Private real estate financing gives assistance to investors who want to buy, fix up or refinance a home or property utilizing a short-term mortgage from a private business or an individual. Unlike bank loans, Santa Fe private mortgage loans are fast closing, easy qualifying and accessible to self-employed borrowers.

Meaning that irrespective of the quality of your credit score, you still have a high probability of qualifying for private money for a real estate loan as long as your investment is viewed to be profitable, you have enough money to set aside for the downpayment, you have shown yourself able in past real estate projects, you have considerable equity contained in the home or property or you have an intelligible plan to pay back the balance of the loan. And having fast closings of just 14 days, private real estate mortgages in Santa Fe are a perfect alternative for real estate investors.

Frequently, borrowers consult Santa Fe private mortgage lenders to supply capital for their projects when:

1. They need money to repair a house and market it at a much higher price or to up the lease amount for renters.

   By way of example, we had a client who owned a 2-unit rental property. He already had a significant amount of equity in the property and the rent payments delivered steady revenue. A handful of choice home renovations would undoubtedly allow him to increase his rents, but since he had a low credit score of 520, it was extremely likely for a bank to turn down his mortgage request. Shortly after he got into contact with Read Rock Capital to obtain a mortgage, we were glad to complete a cash-out refinance for 65% of the duplex's assessed value.

2. They would like to combine each of their unsecured debts into one payment.

   A lot of people find it stressful to take care of multiple payments every month. In order to make the situation more manageable, some people consolidate all their outstanding debts into a single line of credit with one monthly payment.

3. They want to unlock the existing equity in one house and acquire another one.

   One of Island View's clients in Hawaii owned a home valued at $1M. He wanted to sell the house but that never transpired and he finally had to be satisfied with leasing the place to an interested party, with an option to purchase it down the road. The rental agreement income served to meet his existing mortgage expenses, property taxes and insurance. Additionally, he received a $200k non-refundable deposit for the 3-year lease. With the help of this collateral to pay for the property's foreseeable expenses, he discovered another great real estate opportunity and got in touch with Read Rock Capital to obtain a private mortgage loan close to 70% of the home's appraised value. The borrowed funds helped him finance a different investment and also deal with his original mortgage.

4. The balloon payment for a previous mortgage is due and they cannot pay it.

   If an unexpected mishap prevents a person from hitting his balloon payment due date, he could approach a new company to refinance. Refinancing ahead of the term date helps you to make the due date for the balloon payment and avoid fees and penalties associated with missing the balloon payment.

Hoping to find a private mortgage lender in Santa Fe to fund your real estate investment? Enter your info into the form or give us a call and let's discuss your property or properties.