TOP CITIES IN Minnesota
FULL LIST OF CITIES
Numerous real estate investors rely on private real estate financing to pay for a new property, or remodel or refinance one they already have. Minnesota private mortgage loans have many advantages — they are fast closing, have minimal eligibility criteria and are also offered to self-employed borrowers.
That is good news for investors because even someone with lousy credit can qualify for private money for a real estate loan provided that he has a promising project, he has enough cash for a downpayment, he has demonstrated himself able in the real estate market, and he has a sensible exit strategy. And with fast closings of fourteen days, private real estate mortgages in Minnesota are the right alternative for real estate investors.
Generally, people reach out to a private mortgage lender in Minnesota when:
A rehab or renovation can help to market the home at a much higher price or bring in more rent.
To illustrate, a past client owned a duplex. He already retained a lot of equity available in the property and the rent payments delivered steady revenue. While a few improvements to the property may have enabled him to charge more rent, a bank would most likely have turned down his loan request, since he had a credit score of a mere 520. Hence, the borrower approached Island View Private Loan Fund (IVPLF) to complete a cash-out refinance which in turn got him a loan for 65% of the home's value.
They wish to combine each of their outstanding debts into one loan.
Numerous unsecured debts with a variety of interest rates are often too much to handle and challenging to keep tabs on. To help make the situation more manageable, some people merge their unsecured debts into only one line of credit with one monthly payment.
They wish to allocate their equity in one home and purchase a different one.
By way of example, one of our past customers in Hawaii had a property appraised at more than one million bucks. While it was challenging for him to find a buyer for his home, he had someone who was open to lease it with an option to purchase it. The rent checks were more than enough to handle his regular mortgage payment, taxes and cost of insurance. The renter also put two hundred thousand dollars towards a non-refundable advance payment as part of signing the three year agreement. With this collateral to cover the home's foreseeable financial obligations, he came across a new real estate investment opportunity and got in touch with IVPLF to obtain a private mortgage loan around seventy percent of the property's estimated value. This means that he could make a down payment for the new property, and also help with his current mortgage.
They have a previous loan and cannot pay the pending balloon payment.
A real estate investor who already has an existing private mortgage and cannot afford the balloon payment because of a change of circumstances can fill out an application for refinancing from an alternative lending company. Refinancing prior to the term date enables you to make the due date for the balloon payment and avert any penalty charges in connection with failing to make the balloon payment.
Hoping to make contact with a private mortgage lender in Minnesota to talk about loan options for your next project? Complete the form or call us and let's discuss your property.
A loan specialist will be in touch shortly