Private Real Estate Mortgages in Washington DC

Private real estate financing helps investors buy, renovate or refinance a home or property utilizing a short-term loan from a privately owned company or an individual. Unlike loans from banks, Washington DC private mortgage loans close fast, are easy to qualify for and are open to self-employed applicants.

So in case you don’t have great credit, having a real estate opportunity showing good potential, a significant down payment, former experience in real estate, and a well-defined exit strategy are far more crucial in terms of being eligible for private money for a real estate loan. In addition, the fast closing Washington DC private real estate mortgages provide you with financing right away, allowing you to close on a deal within 2 or 3 weeks.

Commonly, customers contact a private mortgage lender in Washington DC when:

1. They would like to renovate or fix up the property or home to enable them to offer it at an increased price or to ask for higher rents.

   As an example, a past investor owned a duplex. He’d already built up considerable equity available in the property and the monthly rent checks were a regular source of income. Some select home upgrades would undoubtedly allow him to increase the cost of rent, but having a lower credit score of 520, it was very likely for a bank to turn down his loan request. When he approached Island View Private Loan Fund to get a mortgage, we were happy to complete a cash-out refinance for 65% of the house’s assessed value.

2. They want to merge each of their financial debts into one single payment.

   Multiple debts with different rates are incredibly overwhelming and difficult to manage. In order to arrange a more manageable situation, they combine all their unsecured debts into one single mortgage loan with just one payment per month.

3. They prefer to unlock the equity in one property and use it to invest in a different one.

   For example, a borrower located in Hawaii owned a house appraised at $1,200,000. When he could not find a buyer for his home, he entered into a lease-option-to-buy deal with someone. The rent checks were enough to cover the cost of his monthly mortgage bill, property taxes and cost of insurance. The person furthermore agreed to pay $200,000 for a down payment for a three-year contract. These assurances meant he no longer needed to be concerned with the property’s future financial obligations, and as a result, when another promising real estate opportunity came up, he found IVPLF and received a private mortgage loan at seventy percent loan-to-value. The loan helped him put enough money towards a new investment as well as pay down his original mortgage.

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

   If someone is unable to make a balloon payment because of unexpected causes, he can seek to refinance his loan with an alternative loan provider. Refinancing ahead of the due date helps you meet the deadline for the balloon payment and stay clear of penalty charges related to failing to pay the balloon payment.

Looking to speak to a private mortgage lender in Washington DC about financing options for your upcoming real estate investment? Submit the contact form on this page or give us a call and let’s discuss your property or properties.