Darrel Ace Anderson Darrel Ace Anderson
Mortgage Broker

Valley Financial Specialists
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Private Mortgage Lenders

  • Did the banks turn you down?
  • Looking for a bad credit mortgage?
  • Or a bad credit mortgage broker?
  • Looking for a low income mortgage?
  • How about a no income mortgage?
  • Retired with limited access to cash?

Private mortgage lenders can help. I work with over 60 different mortgage investment companies and private lenders. This way I can assist my clients in finding alternative mortgage financing.

Why would you need a Private Equity Mortgage?

Some borrowers may not qualify for equity mortgages with conventional lenders. Many of life's unexpected events can lead to a reduced income and imperfect credit. In these situations, if you have equity in your home, alternative or private lenders can help.

Other reasons for Private Equity Mortgages are:

  • Renovations
  • Schooling
  • Investment Opportunities
  • Construction and Property Development

Private mortgages are usually short-term mortgages. The intention is that the borrower will improve their financial situation within 1-3 years. Then they can seek conventional financing instead.

Who are the Alternative and Private Lenders?

Private lenders, sometimes called alternative lenders, are usually companies or individual investors. Some investors prefer to invest their money into Mortgage Investment Corporations (MICs). These are companies that lend on and manage a pool of mortgages. In this instance, the MIC would be the private lender. Some individuals may choose to lend their money for mortgages.

What are the Interest Rates for Private Equity Mortgages?

Private Equity Mortgage rates are higher than Conventional Mortgage Rates. They usually range between 6%-16%, depending on many factors. Factors like the loan-to-value of the mortgage, the location of the property, and the position of the mortgage (1st, 2nd, or 3rd). Although the rates may seem high, they often are much lower than the interest rates paid for credit cards. Some Private Lenders may also allow longer amortizations or interest-only payments. This can ease cash flow situations for some borrowers, enabling them to secure their financial footing.