Not all financial institutions are created equal. Each one has different requirements to approve someone for a mortgage, including who they’ll lend money to and what interest rates they’ll charge.
Unfortunately, this means that not everyone can get a mortgage from traditional banking firms. But thankfully, there are private lenders in Indianapolis that want to help you find the perfect home loan—without going through a bank first.
Here’s what you need to borrow from private lenders for home and rehab loans in Indianapolis
Private lenders for home loans in Indianapolis City come in handy because they are ready to negotiate with anyone, so long as some specific qualifications are met. In order for someone to acquire a mortgage loan from private lenders, they must ensure the borrower has valid income sources and is ready to adhere to the interest rate agreements set forth.
Unlike most financial institutions and traditional lenders, private lenders will be very willing to offer you a good deal as long as you have evidence of an income source and willingness if debt management knowledge.
Other key factors about obtaining a home loan from a private lender
Every private lender in Indianapolis is different. Here are some other must-know key factors to obtain a private mortgage home loan:
- The agreement should not be verbal. Everything between the borrower and the lender should be written down and verified. Create an agreement in writing that you both review and sign. That will prevent any confusion, misunderstanding, misinterpretation, or an “I forgot” moment that could dramatically impact you or the lender!
- Clarify taxation: Many people seeking to acquire mortgage loans from private lenders often miss out on understanding the tax implications. Therefore, it can be hard for them to meet the agreed interest rate and payback terms, and they can even expose themselves to hefty fines if they miss a tax payment! Make sure you’re aware of all tax issues while completing the agreement.
- Bring in a professional: Even though you might not be going through a traditional financial institution for your mortgage does not mean you should approach this mortgage haphazardly. Work with an attorney or title company to help create an agreement that works for all parties — these professionals are highly experienced and can ensure that both parties are protected in writing.
Private mortgages provide a powerful way for many prospective homeowners to get a mortgage, even when they may not be able to get one through a traditional financial institution. Contact HOMELINE REDEVELOPMENT LLC at (463) 263-3446 and we can help to answer questions about private lender home loans (or we can guide you to the people who can help you). Also, for a much faster way of connecting you with a great home loan private lender, please fill in our form so we can help you quickly.