Private mortgages are a great fallback if normal financing options are out of bounds for you. Let us look into three facts about private mortgages which will tell you everything you may need to know if you want to apply for one!
Private mortgages explained
Private mortgages are short-term finances with flexible terms for you to avail a mortgage. They help you with finances required for a shorter period than regular conventional mortgages and can be taken for years rather than decades. Private mortgage lenders are lenders other than banks. They can be individual investors, your friends, or family, who agree to give you the required loan and enter into a private mortgage contract with you.
Who can apply for private mortgages? Do you fit the bill?
Eligibility criteria for private mortgages: Let us have a look at the many situations in which you can avail the private mortgage option — If you are a self-employed person, or looking at renovating your house, or in need of debt consolidation, or have tax or mortgages arrears, private mortgages are the answer. If a bank or other lenders are not willing to finance a non-traditional or unconventional property that you are willing to buy; If you require a loan for a couple of years, sometimes also referred to as a short-term loan; If you need hassle-free and fast finance without going through the trouble of long-drawn mortgage approval procedures or bank approvals; If you do not have a particularly remarkable credit history or you have been turned down by mortgage lenders more than once; If your source of income is unverified and is becoming an obstacle to acquire the property in question. Private mortgages are for those people who are looking to apply for a mortgage and find themselves not eligible for conventional mortgages.
What are the terms of private mortgages like?
The terms and conditions for private mortgages differ from person to person and depend on the assessed risk. They are usually given for one year, and in some cases, even more. Interest rates are usually high in the case of private mortgages. The good news is that your credit record whether you have paid your previous credits duly or not, whether you have been bankrupt or not, is not a hindrance in your way of availing a private mortgage. The lenders, instead, focus on the fact that you get the required amount of money. Private mortgages are more flexible than stringent traditional mortgages set on the strict rules of the banks providing the funds.
Private mortgage brokers can be of benefit to you as we do all the legwork, are reliable, and can give you discounts that we get from the private lenders. Besides, we are in touch with a whole lot of private lenders to help you avail funds quickly. We can also aid you with a number of mortgage solutions and open more gates for you. If you wish to avail private mortgages we are a team of experienced mortgage brokers who will make the mortgage process a breeze for you.