When you need a significant amount of money in a pinch – what do you do? The bank somehow can smell your need and kindly shows you the door. Your pride is not going to allow asking family or friends for help because you can do this. So what are the options?
Barrie Private Loan Options
When we are looking at borrowing a significant amount of money – we need to qualify this. This is an amount that is over and above what a pay day loan can accommodate and an unsecured credit card also usually won’t cut it. Generally speaking this an amount of 20K and above and can be for any number of reasons – from debt consolidation to home renovations to even purchasing a car. The guiding difference is in the security of the loan or the collateral used to registered the loan against. We will be using your home to secure the loan and this assists those in a vulnerable position in getting the loan as it provides the lender a sense of security that the money lent is backed up by a real asset.
Could I Get A Loan…Please?
The answer is – it depends. Owning your own home is the first step in qualifying for a private loan in Barrie. Then we need to go through the process of ascertaining the following “three legs on the chair” of any secured loan to determine if they are strong enough that we can sit down:
1) Marketable Property – The first aspect of qualifying for your loan is if your home is marketable. What marketable means to a lender is – if the home can be resold in a reasonable amount of time in a market that yields interest from a good amount of potential buyers. The reasoning here is that if they ever need to force a sale of the home to recoup the money they have lent you – they are looking for a likelihood that this is going to happen.
2) Ability To Service The Loan – The second aspect or leg of our chair is the likelihood that you will be able to afford the loan’s monthly payment. We can use the same methods that the banks use as far as your total gross income towards paying the loan. There are times when a lender will even consider a higher percentage going towards the loan payments when there is an event (ie. promotion) that is going to occur in time to bring things back in line. A general rule of thumb is that all of your total monthly debt payments don’t take up more than 50% of your gross monthly income and we should qualify. Contact me to run this calculation for your specific scenario.
3) Ability To Repay The Loan – Our last leg is an important one to the potential lender and to yourself as the borrower as well. The last thing you ever want to take on is borrowing money you have no idea how to pay back. Private lenders are also concerned about this. They are looking to get their money back at the end of the term of the loan. The way this is determined is by showing that either the loan will be refinanced back into your bank mortgage or a life event will take place (inheritance, commuted pension, legal settlement) that will ensure repayment. I make it my prerogative to work with all of my borrowers to improve credit or remedy financial mistakes in order to make the first scenario as likely as possible. Working with a good mortgage broker in Barrie should enable a strong chance that you will be able to repay the loan in time.
Ontario Private Loan For Any Situation
Life is not always predictable. There are circumstances that make everyone wonder what to do next. When the cards are down and the paths few – take stock and weigh your options. You may find that the lack of action in taking a short term private loan is much more detrimental than any alternatives. Month after month of stress to your credit and the weight of financial burdens that can be alleviated should be fully explored before your health becomes affected and the costs associated with this. You may find like many of my satisfied clients that they were able to focus their creative energy to positive endeavors like making money now that the stress of their money issue was taken care of. Your questions below please.
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