A lot of real estate investors rely upon private real estate financing to buy a new property or home, or update or refinance one they already own. Whereas traditional lenders, for example, banks necessitate a lengthy, drawn out application process and are more than likely to be reluctant to lend money to a self-employed individual, private mortgage loans in Wildwood close fast and have minimal eligibility criteria.

That's great for real estate investors considering that an individual with weak credit can obtain a private money for a real estate loan as long as he has a project that shows strong potential, he has enough cash for a down payment, he has shown himself competent in prior real estate projects, and he can show a good exit strategy. Besides, if you are searching for a fast closing, there are few options better than Wildwood private real estate mortgages.

Most borrowers speak with Wildwood private mortgage lenders when:

1. A rehab or renovation will make it possible to offer the house for a higher price point or bring in additional rent.

   As an example, a past investor owned a twin-home / duplex. He previously built a good amount of equity in the building and the monthly rent checks was a recurring source of income. He sought to perform some renovation to the units to help keep his rents high, but a below average credit score of 520 meant that a bank would undoubtedly turn down the loan request. And so he turned to Read Rock Capital to obtain a cash-out refinance and acquired financing at 65% LTV.

2. They need to consolidate financial debts.

   Multiple unsecured debts with different lending rates are very overwhelming and difficult to keep an eye on. This is why some people choose to make the most of the equity in their home to merge each of their outstanding debts into a single private loan with a single payment per month.

3. They would like to use their property's equity for another home purchase.

   For example, a customer in Hawaii had a home appraised at $1,200,000. Because it was hard for him to find a purchaser for the house, he had identified a person who was open to lease it with the option to purchase it. The lease income made it possible to meet his existing mortgage expenses, taxes and insurance. In addition, he was given a $200k non-refundable deposit for the 3-year lease agreement. These assurances meant he did not have to be concerned with the property's ongoing expenses, and thus, when a new real estate investment opportunity surfaced, he reached out to Read Rock Capital and obtained a private mortgage loan at seventy percent LTV. Meaning that he could make a deposit for the new property, and also pay down his current mortgage.

4. They need help to meet the balloon payment for a previous private loan.

   A real estate investor who has a previous private mortgage and is not able to pay for the balloon payment on account of a change of circumstances can fill out an application for refinancing from another lender. A refinance will help him avoid missing the cut-off date for the balloon payment and steer clear of any fees and penalties.

Want to discuss loan options with a private mortgage lender in Wildwood? Fill out the contact form on this page or call us to discuss the project you have in mind.