When the Banks won’t allow you to borrow money
Private mortgage loans are another option when the bank says no. If you are unable to qualify for a 1st, 2nd. or 3rd mortgage or need access to your money sooner rather than later, a private lender within my network can help. Keep in mind, most private lender will not lend above 75% of the appraised value of the property. I have some key contacts that will lend up to 85% of the appraised value, sometimes more if collateral is added to the equation.
Private Mortgage Loans
A majority of private lenders offer 1st, 2nd, 3rd and even 4th mortgage in rate situations. The rates on first mortgages can start as low as 5.99% depending on the LTV and go as high as 12% depending on the risk involved. Anything behind a first mortgage is a higher risk and therefore will normally start at 10% interest, going as high as 22% (depending again on risk). Private Mortgage Lender will charge a fee which, along with broker commissions, will be deducted from your loan.
Investment Mortgage Lenders
Where do the funds for private mortgages come from?
Private mortgage funds come from various sources. They range from private individuals, Capital Lending Corporations, and many from MIC (mortgage investment corporations). These are funds that have been established as an investment tool and are regulated by the provincial securities commissions.
Many individuals have good intentions. Sometimes obstacles arise such as…
- You’ve been laid off from work
- You have some unexpected and/or unforeseen bills
- You’ve been hurt on the job, and your coverage isn’t enough
- You have a large down payment, but credit still keeping you from getting approved to purchase a home
- You looking to purchase raw or serviced land
- You are looking to to develop raw land
- You are looking to proceed with an equity based purchase from an acquaintance or family member
Use the equity in your home and allow me to connect you with a Private Lender that looks past the less than perfect credit, and/or unforeseen circumstance. Some reasons to consider using a Private Lender include:
- You are Business for Self
- You have difficulty proving your income
- You need to consolidate and get back on track
- You need to Finance a bankruptcy
- You’ve fallen behind on your mortgage payment.
- You need to get out of foreclosure
- Simply need cash quickly
Private Mortgages are geared for quick turnaround time!!
***URBAN areas, RURAL areas***
Private mortgages will have lender fees, and in some cases as low as $500 (O.A.C). Brokerage Fees extra. Depending on the circumstance and location, private lenders will generally advance between 55% – 85% of the value of your home, Every situation is different. Contact me to see how I can help you.