Private real estate financing entails finding a short-term loan through a privately owned business or individual person with the intention to purchase, perform improvements on or refinance a property. As opposed to bank loans, Wichita private mortgage loans close fast, are easy to qualify for and available to self-employed customers.

This is a good thing for investors considering that someone with bad credit can qualify for private money for a real estate loan assuming that he has a promising project, he has adequate cash for a down payment, he has demonstrated himself capable in the real estate market, and he can show a plan for an exit strategy. What's more, Wichita private real estate mortgages close fast to supply you with financing without delay, helping you close on a deal within 2 or 3 weeks.

In general, investors reach out to a private mortgage lender in Wichita when:

1. They want to renovate or make repairs to the property to be able to offer it at a much higher price point or to ask for higher monthly rental fees.

   For instance, there was a customer with a two-unit rental property. At the time, he had a considerable amount of equity available in the house and the rent brought in a steady cash flow. He desired to do some upgrades to the place so that he could keep his rents high, but a low credit score of 520 meant that a bank would turn down his mortgage application. So he turned to Read Rock Capital for a cash-out refinance and obtained financing at 65% LTV.

2. They have numerous outstanding debts and wish to combine them.

   Numerous unsecured debts with a range of lending rates can be very overwhelming and hard to keep track of. As a result, lots of people borrow against their home's equity to merge their debts into one loan.

3. They wish to release the equity in one property and buy another one.

   One of our clients in Hawaii had a house worth $1M. Because it was hard for him to find a purchaser for the home, he had a person that was willing to lease it having the option to buy. The income that came from the rental payments paid for his monthly mortgage expenses, home owner's insurance, and taxes. In addition, he was given a two hundred thousand dollars non-refundable down payment for the three year lease contract. Having these sureties to take care of the home's financial obligations on a regular basis, he called Read Rock Capital to obtain a 70% loan-to-value private mortgage loan for his next purchase of an investment property. This gave him more than enough cash to use for a downpayment or his next property, but additionally helped him deal with the current mortgage.

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

   If a person can't meet a balloon payment thanks to unforeseen causes, he can try and refinance his loan with a new lender. A cash-out refinance helps the person complete the balloon payment and evade penalty.

Hoping to make contact with a private mortgage lender in Wichita to go over loan options for your upcoming investment? Submit the contact form on this page or get in touch with us via phone and let's discuss your property or properties.