Private mortgage lenders are the people that you want to see and speak to when the banks have turned you down on a home loan. If the banks met with you and told you that you lacked enough credit, didn’t have enough resources to put into a loan or some other reason, you want to seek out a non-traditional type of lending for your home.
A private lender is able to finance you when everyone else says no because they work with people who want to help and know how difficult it can be to obtain a loan. You will be able to use the home you are purchasing or refinancing for home equity against debts you owe and can increase your credit score. You will be able to work with a private lender that can help you to refinance your loan without suffering by paying a large penalty that the bank would normally have charged you.
If you are just starting out on building credit up or are simply trying to payoff old credits and debt, you know that it can be hard to obtain a loan or to refinance your loan. If this is you, look at a private lender as an alternative to bank funding.
You might already own your home and maybe in need of repairs or simply would like to update your home. If this is you, you will feel at ease knowing that there are people out there who will give you the money you need in order to do this but without the large cost of borrowing more money. A second mortgage may just be what you need in a time of need such as this.
There will never be a perfect time to borrow money however if you are able to borrow money without the large expense of refinancing early on, you might want to consider this as an option for making that repair. There can be a time where refinancing is the only option you have and when that is the only option, you do not want to pay hefty fines for using the only option you have.
Some people who own small businesses have encountered a time period where their finances took a hit. There could be a time when your small business lacked funding because something took funds away from your business. If this happens, you do not want to have your finances squashed because of the problem either that was caused deliberately or on accident.
You can use a second mortgage on your home in order to help your business out because you have equity in your home that will allow for a mortgage to be added to your loan. You never know when things will go wrong and when you will need money either for a business or for your own home. When the time comes, you do not want to lose your business or your home simply because something went wrong and you were in need of money with no one willing to help you out.
References:
Mortgage Info: http://www.mortgagecalculator.org/mortgage-rates/2nd.php
Quick Tips: http://banking.about.com/od/mortgages/a/2ndMortgage.htm
Debt Help: http://www.debtconsolidationloan.com/second-mortgage/
