Bramptonmortgagepro.ca has a new private mortgage lender network in Brampton. Private lenders are individuals or companies that exclusively service mortgages that were turned down by banks. They have more free rein than banks do and can, therefore, provide loans without much regard for a credit score. Brampton private mortgage lenders invest in real estate and therefore look more at equity in a home than other factors when considering mortgage applications. Private lenders can offer a wider variety of products like second mortgages, construction draw mortgages, bad credit mortgages, and home equity loans among others.
Private Lenders of Bad Credit Mortgages in Brampton
People with bad credit cannot qualify for bank loans, which require 600 points or more. Such individuals must look for other options that are only offered by private lenders. Private mortgage lenders in Brampton do not mind credit score and can, therefore, issue loans to people with bad credit. Home equity is important to private lenders whose main business is in real estate. Bad credit mortgages may attract higher fees than bank loans owing to the heightened risk they present to lenders.
Types of Mortgages and Services Offered by Private Lenders
Private lenders are very flexible with the services they offer and this gives their client more variety than they would get at a bank. Brampton private mortgage lenders issue debt consolidation mortgages to help clients pay off high-interest loans and remain with one that they can comfortably pay each month. Education, renovation and construction draw are some other types of loan serviced by private lenders. They also give loans for business investing when an individual has no other source of capital. A private lender mortgage in Brampton is your chance to access the equity in a property for personal gain.
Second Mortgages from Private Lenders
If you already have a loan against your property, the subsequent one is known as a second mortgage. Private lenders also offer second mortgages to clients who wish to leverage the remaining equity in a property for personal financial gain. Before issuing the loan, a private lender will calculate the loan to value ratio of your home by dividing the total value of debts by a home’s market price. If the result is 85% LTV, the mortgage lender will give an offer. Private lenders are sensitive to risk and will not loan to homes with too many debts.
Private Funding to Stop a Power of Sale
If you are unable to repay the loan as agreed, a private lender has the right to sell off your property to try recovering their investment. This process is called either a foreclosure or a power of sale Once started, a power of sale or foreclosure is difficult to stop but you can try working with a private lender to provide the much-needed funding before the process begins. Banks follow a strict mortgage approval process that is impossible to speed up, leaving people with an urgent need for funds with only private mortgage lenders to turn to. Bramptonmortgagepro.ca has a wide network of private mortgage lenders in Brampton who will quickly provide funding to save clients from losing their valuable properties.