A private mortgage is an unconventional way to access funds based on equity lending, thus tapping into your accumulated equity of your home. This is a short term solution only and requires careful planning and a predefined exit strategy on how to pay back the privately acquired funds.
Every so often life deals us cards that are not fair. We have helped clients, who ran into short-term cash-flow problems based on life altering events such as serious illness in their family, elderly support for their parents, separation and divorce, addiction issues within the family, or loss of employment and income.
A private mortgage can help in each of these situations. Our firm can help you to address your requirement for temporary funds with private individuals or MICs (Mortgage Investment Corporations). All lending is based on the equity in your home and not on your income. Interest pricing is higher than income based lending, which the banks and credit unions are providing. The pricing is high, because the lender is exposed to a higher risk of lending and is often in a second rank position of mortgages entered onto a property title. The documentation requirements for your application are limited and often only consist on a credit bureau report and an appraisal of your property. Terms are from six months to two years.
Thus you are paying a high priced interest only for a short period of time until you are back on your own feet and have recovered from your life altering event.
In our practice we have helped many clients through careful planning, explaining of how a private mortgage works, and a strategy on how to get back to normal with your finances. We have saved many clients from foreclosure or judicial sale of their family home. Our mantra is that there is a solution, even if the situation may seem to be hopeless.
Give us a call, describe your situation, and we will offer you financing options that will work for you.