Private Lenders Are Good for Foreclosures
- February 22nd, 2012
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Private money lenders are a good way to get financing for properties that do meet the usual criteria for traditional loans. If for instance you are in the real estate business and need to get a loan for buying a foreclosed home at a bank auction a private lender may be able to make a loan for a special case like this. It is best if you go to a lender and find out if they can do this first before going to the auction. Then you will already know what terms you can get and how much it will cost you as well as how much you can get a loan for. You will need to put down a substantial payment of close to thirty or forty percent and the home you are purchasing will serve as the collateral for the loan that you get from a private money lender.
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