Private Real Estate Mortgages in Grenada
Private real estate financing can help investors pay for, fix up or refinance a home via a short-term loan from a private company or an individual. While standard lending institutions like banks necessitate a prolonged, drawn out application process and in all likelihood will think twice about lending money to a self-employed individual, private mortgage loans in Grenada close fast and are easy to qualify for.
That's very fortunate for investors because an individual with poor credit can obtain a private money for a real estate loan as long as he has a deal that shows strong potential, he has sufficient cash for a downpayment, he has demonstrated himself able in the real estate market, and can show a sensible exit strategy. And with fast closings of only two weeks, private real estate mortgages in Grenada may very well be the right alternative for serious real estate investors.
Commonly, investors seek out a private mortgage lender in Grenada when:
They're in search of funds to fix a property and market it at a higher price point or to rent it out for more money.
One example is an applicant who owned a two-family rental property. He already retained a good deal of equity available in the house and the rent payments generated steady cash flow. He desired to complete some modifications to the units so that he could maintain high rents, but a below average credit score of 520 meant a bank would undoubtedly turn down his loan request. Right after he contacted Island View Private Loan Fund to get a mortgage, we were glad to complete a cash-out refinance for 65% of the property's value.
They need to combine all their unsecured debts into just one loan.
Many of us find it stressful to take care of numerous payments on a monthly basis. To arrange a more workable situation, some people combine their outstanding debts into an individual loan with one payment per month.
They wish to utilize their house's existing equity for another purchase.
For example, a customer in Hawaii had a house appraised at $1.2M. His idea was to sell the house but it never transpired and he ultimately was forced to be content with leasing the property to someone, with an option to purchase it at a future date. The revenue that stemmed from the rent paid for his regular mortgage payment, home owner's insurance, and taxes. Additionally, he was given a $200k non-refundable down payment for the three year contract. Having these assurances to pay for the house's foreseeable financial obligations, he discovered a new real estate opportunity and approached IVPLF for a private mortgage loan close to 70% of the property's valuation. Meaning that he was able to make his down payment for his next investment, and also pay down his existing mortgage.
The balloon payment for a prior mortgage is due and they cannot handle it.
A real estate investor who has a prior private mortgage loan and isn't able to afford the balloon payment on account of a change of circumstances can fill out an application for refinancing from a new lending company. Refinancing ahead of the due date allows the borrower to meet the deadline for the balloon payment and avoid consequences related to failing to make the balloon payment.
Looking for a private mortgage lender in Grenada to finance your investment purchase? Fill out the form on this page or get in touch with us via phone to discuss your property or properties.