Private Lenders For Mortgages

Judy Said:

private morgage lender?

We Answered:

You can reasonably trust most private mortgage lenders as long as you do check the contract completely. look for payment clauses, prepayment penalties and any out of the ordinary terms. good reputable private mortgagors will provide you with a copy of their note for review prior to any transacton. do insist that a neutral licensend 3rd party perform escrow. that same firm can collect payments and enforce the contract. in the event the private mortgagor goes bust, your contract would then be handled by a trustee, but the terms of your contract could not be altered or accelerated provided that your loan was not in default.

check with your local munipality, office of financial affairs, business tax authority and reference if your "banker" is registered. if all checks out and the terms being offerred are comparable to bank terms as you say, then i think you should be fine.

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