The key for getting a private 2nd mortgage approved and funded is going to be solid equity in the real estate property offered as security.
Our private lenders are interested in solid real estate mortgage investment opportunities and typically provide one year terms for Milton private second mortgages.
In order to apply for a private second in Milton, you will need to complete a basic application form and list out your personal net worth and outstanding debt obligations.
And even though your personal credit may not factor into the lending decision, a private lender may still want to review your credit profile to get a better sense of who he or she may be dealing with.
A real estate appraisal recently completed is also going to be required.
For commercial properties, some of our private lenders will consider relying on an existing commercial appraisal that is one or two years old, if they believe it is still representative of the market. This not only is a cost saving to the applicant as commercial appraisals can be quite expensive, but also a time saving in that commercial appraisals can take more than a month to complete.
For residential properties, and a current appraisal is going to be required and typically can be completed in a just a few days.
For fast closing requests, a Milton private second mortgage can be put into place in two to five business days providing everything is in order and you have a lawyer at your disposal who can enroll in the process on short notice.
Most Milton private second mortgages take ten to fifteen days to get in place from the time of application to the day of mortgage funding.
Funds are available for a wide variety of uses including debt consolidation, mortgage refinancing, and construction financing.
The loan to value ratio typically provided is in the 75% to 85% range.
If you require a Milton private second mortgage, I suggest that you give me a call so I can quickly assess your situation and provide private 2nd mortgage financing options for your immediate consideration.
Collectively, out private money lending sources can provide Burlington private second mortgages on a wide variety of residential, commercial, and industrial property.
Because each private lender has his or her own lending and funding criteria, its important to be working with a large enough pool of lenders to meet the majority of financing requirements of our clients.
With Burlington being a strong real estate market, anchored within the borders of the Greater Toronto Area, most of our GTA based lenders will consider deals from Burlington, increase the available supply we have for Burlington private second mortgage requests.
In other areas more removed from the GTA, private lenders can be very localized making it hard at times to locate 2nd mortgage financing on different property types.
But the Burlington are provides us with a number of choices to draw from, greatly increasing the chances of a funding being available for a private second.
Regardless of the capital requirement of the borrower or applicant, there is typically a need to get the deal completed in as short a time period as possible.
Our average turn around time on Burlington private second mortgages is ten business days.
That being said, it is possible to get a private 2nd mortgage in place in between two and five business days, provided that the applicant has everything in order and is working with a lawyer who can provide on demand attention to the mortgage process.
Most of our private mortgage lenders will consider loan to value ratios up to eighty percent. There may be options for higher leverage, but that will be very much deal and lender specific.
The rates for a private second will also depend on the real estate offered for security and the lender as well as the ending loan to value for all mortgage registrations against the property.
But for a general rule of thumb or guideline, a private second mortgage interest rate is going to be, on average, at least two percentage points higher than a private first mortgage on the same property.
Our goal as mortgage brokers is to locate a source of financing as quickly as possible that meets your borrowing requirements and then to work closely with yourself and the lender to get the deal closed and funded.
If you are in need of a Burlington private second mortgage, I suggest that you give me a call right away so I can quickly review your requirements and provide private second mortgage financing options for your immediate consideration.
An Oakville private second mortgage can be arranged for a number of different requirements including debt consolidation, construction or renovation, second mortgage refinancing, and non specific capital requirements.
The private lenders that provide these types of mortgages are interested in the amount of equity in the property, the property’s condition, and the strength of the resale market for similar pieces of real estate in the same area.
While an Oakville private second mortgage may be required due to distress credit on the part of the borrower, it may also be put into place due to the speed in which it can be put into place compared to a conventional mortgage from a bank or institutional lender.
In many cases, from the time of application to funding, we can get an Oakville private second mortgage in place in five business days or less with the overall average to complete the process coming in at ten business days.
We also arrange a considerable amount of construction financing where the construction mortgage is arranged in second position against the property where construction is taking place.
Using private mortgage financing for construction has gained in popularity due to the speed in which the financing can be put into place and the more predictability for the most part with the draw management process followed by the private lender.
Construction financing can be arranged for the primary construction mortgage, even if its registered in second position, which is one of the benefits of an Oakville private second mortgage in that most banks and institutional lenders will require a first mortgage position for a construction loan. This can be very inconvenient if you have a good first mortgage in place with a solid rate, especially if you’re doing a home renovation loan or addition where the construction loan amount is relatively small.
We also provide construction financing in the form of a construction bridge loan where at the end of the project a small amount of funds is still required to complete the work outstanding, but cannot be drawn from the existing construction loan which is at its approved limit.
Regardless of the requirement, an Oakville private second mortgage is something that can be put into place quickly, allowing you to draw against your existing equity in your property.
A second mortgage automatically means that there is a first mortgage already in place, and in many cases it doesn’t make sense to refinance the first mortgage for some combination of lower interest rate, longer interest term, change in amortization, or access to additional capital.
Especially if there is a fixed rate involved with the first mortgage, any refinancing or early prepayment of the mortgage can result in a significant prepayment penalty that the borrower may want to avoid.
Or, if you have stressed credit, you may not be able to qualify for a new first at the current top end market rates, so you’re better off keeping it up to date and leaving it in place.
Just like any type of private money financing, a Mississauga private second mortgage is short term financing option that typically provides an interest term of one year.
And because private second mortgages typically can be put into place quickly, they can make excellent short term funding options.
The use of funds can really be anything, but the most common applications of incremental capital generated from a Mississauga private second mortgage include 1) debt consolidation; 2) construction or renovation financing; 3) bridge financing of a personal or business transaction.
A Mississauga private second mortgage is effectively an equity mortgage where the private lender is making a lending decision based on the market value of the property and the amount of equity the borrower will still have invested once the private second mortgage is put into place.
While most private lenders are still going to be interested in how the applicant is going to make monthly interest payments and what the state of their credit is like, the primary criteria for a lending/funding decision is going to be based on the quality of their security position.
So if you have a good piece of real estate property that is well maintained and in a good market area in Mississauga, then there is a very good chance that you can secure a Mississauga private second mortgage with solid rates and terms.
Because most private mortgage lenders do not transact directly to the market, its going to be important that you’re working with an experienced private mortgage broker that direct access to private mortgage lenders that fund second mortgages in your area.
If you’re in need of a Mississauga private second mortgage, I suggest that you give me a call so I can quickly assess your situation and provide private second mortgage options for your immediate consideration.
A Hamilton private second mortgage is most typically required on residential real estate property with the purpose of the funding to consolidate debt. This is in effect an equity take out loan against the equity of the property whereby the private mortgage lender is more concerned with the fair value of the property and the market resale dynamics than with the credit or repayment ability of the borrower.
Private 2nd’s can also be placed on other classifications of real estate property including industrial and commercial properties. The key to any Hamilton private second mortgage is going to be the amount of security offered to the lender and the private mortgage lender’s assessment of that security. As a result, most private second mortgages are placed with local or regional money that has a working knowledge of the market in the subject property area and may be inclined to perform their own lender inspections of the property to get a first hand view of things.
A private second mortgage, because it is subordinate or behind a first mortgage, is going to come at a higher rate of interest than the first mortgage due to the higher potential risk of loss to the lender. In very general terms, private second mortgage interest rates on single family dwellings can range from 10% to 14% in the Hamilton and surrounding area. Most private seconds are for a one year interest term with some providing an option for renewal at the end of the term provided that all interest payments have been made in a timely fashion.
Because private mortgages come from more localized sources, its important to be working with a mortgage broker who has direct access to private mortgage lenders that place second mortgages in the area of consideration. Working with private sources that don’t have a focus in Hamilton may result in application declines and higher rates of interest than what could be acquired from more localized sources. And because most private lenders choose to work through mortgage brokers to access the market, the best available options may not be readily available to you unless you are working with an experienced mortgage broker that places these types of deals in and around Hamilton.
If you require a Hamilton private second mortgage, please give me a call so I can go over your situation and quickly provide private 2nd options for your immediate consideration.
Concord private second mortgages are most commonly placed against residential real estate for the purposes of debt consolidation. For these types of private 2nd mortgages, the total loan amounts outstanding typically cannot exceed 65% to 80% of the fair value of the property, depending on the property, the borrower profile, and the lender ,preferences. Because most of the sources for private seconds are local or regional in nature, the private lender can make financing decisions very quickly and close deals in short order if required.
While not all private second mortgages required fast closing, most have a preference in getting the financing in place as soon as possible due to some type of refinancing or pay out press from an existing creditor.
While residential private second mortgages for debt consolidation are the most popular in this mortgage category, there are many other uses of funding from private seconds that can be financed against both residential and commercial properties.
Another very common application for a 2nd mortgage is a construction loan where there is an existing mortgage in place for either the acquisition of property where the construction will take place or for a building that is going to be added to or renovated. The construction loan is secured by a second mortgage position against the property and the amount of construction financing will be dictated by equity in the property at the time of construction as well as the estimated increase in value at each completed phase or draw stage.
The third most common form of Concord private second mortgages is for short term loans or bridge financing requirements. There are almost endless possible uses for this type of short term loan. The common link is that the funds are required for a period of less than one year with a clear and well defined exit strategy or repayment plan for the funds being borrowed.
The key to locating and securing a Concord private second mortgage is to work with an experienced mortgage broker with a track record for placing these types of loans. Mortgage brokers with direct private lender relationships will be more likely to not only provide you with a fast turnaround, but also match you up quickly with private lenders that meet your requirements.
If you’re in need of a Concord private second mortgage, give me a call today so I can quickly assess your requirements and provide relevant private 2nd mortgage options for your immediate consideration.