Private Lenders

Private Lenders

Private lenders, these lenders are behind the B lenders, you can do a private mortgage as either a 1st or a 2nd, private mortgage is a typically a lender of last resort, typical lender fees can range anywhere from 2 to 4% and the rates for 2nd mortgages are in the range of 9 to 14%, the payments are interest only, 2nd mortgages are typically one year terms, the idea of a 2nd mortgage is that it’s a temporary band aid solution, then hopefully in a year we can refinance the client into a bank type or mortgage or we can place them with a B lender for a lower interest rate.

At Ronin Mortgage, we always look after the clients interest first, we look at providing the lowest interest rate solution first then work up from there, even if we place a client with a B or private lender, we will help guide them in steps on how to improve their credit and what they can do with the income so that in 6 months or a year’s time we can place them back with a major lender or bank.