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Mississauga Private Second Mortgage
“We Place Mississauga Private Second Mortgage Loans From Our Private Lending Sources”
A Mississauga private second mortgage can many times be your best option for raising additional capital quickly.
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.
About the Author Joe Walsh
I'm a Toronto Mortgage Broker that arranges mortgage solutions on residential and commercial real estate property. With over 30 years of mortgage financing experience, I'm able to quickly assess your financing requirements and provide relevant solutions for your immediate consideration. Joe Walsh Google+ YouTube Channel