Private real estate financing involves obtaining a short-term mortgage loan from a privately owned company or individual in order to purchase, carry out upgrades on or refinance a home. Hawaii private mortgage loans have many advantages — they are fast closing, have minimal eligibility requirements and are also offered to self-employed applicants.

So while you might don't have good credit, having a real estate opportunity with promise for profits, a considerable downpayment, past real estate experience, and an intelligible exit strategy are far more important in regards to being eligible for private money for a real estate loan. Additionally, the fast closing Hawaii private real estate mortgages give you financing right away, helping you close a deal within 2 or 3 weeks.

In most cases, people confer with Hawaii private mortgage lenders to supply capital for their real estate activities when:

1. They would like to remodel or make repairs to the property or home to enable them to market it at a much higher price point or to get higher monthly rental fees.

   For example, there was a borrower who owned a 2-family rental. He had an abundance of equity available in the building and the rent brought in regular monthly income. He desired to do some upgrades to the place in order to maintain high rents, but a lower credit score of 520 meant a bank would turn down the mortgage request. So he came to Island View Private Loan Fund to do a cash-out refinance and acquired a loan at 65% LTV.

2. They need to consolidate their personal debts.

   Countless outstanding debts with a range of lending rates can be quite overwhelming and tough to keep track of. On that basis, lots of people get a loan against a property's equity to consolidate all their financial debts into one manageable payment.

3. They want to use their house's equity for a different home purchase.

   One of our clients in Hawaii owned a home worth $1M. When he failed to find a buyer for the property, he inked a lease-option-to-buy arrangement with somebody. The lease income helped him meet his existing mortgage expenses, taxes and homeowner's insurance. The renter additionally gave $200k for a non-refundable deposit as part of signing the 3 year lease. Using these assurances to handle the home's expenses on a regular basis, he phoned IVPLF for a 70% LTV private mortgage loan for his upcoming purchase of an investment property. Meaning that he was able to make a deposit for his next investment, and also repay his current mortgage.

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

   If an unanticipated incident prevents a person from meeting his balloon payment deadline, he could contact an alternative loan provider to refinance. Refinancing ahead of the term date enables the borrower to meet the deadline for the balloon payment and stay clear of fees and penalties associated with failing to pay the balloon payment.

Wanting to make contact with a private mortgage lender in Hawaii to discuss funding programs for your upcoming real estate investment? Complete the contact form on this page or give us a call and let's discuss your project.