Here are Five Things to Look for Before getting a Private 1st and 2nd Mortgage!
⚠ Attention Mortgage Brokers and Business Owners
Beware of the so-called Private Lender who issues Term Sheets without the money to fund the loan. This is becoming an increasingly common occurrence.
HOW DO WE KNOW THIS? Because of the number of clients coming to trusted private business lender HomeSec at the last minute, desperately seeking funding for a property purchase or for their business. They thought they had the finance locked in, only to find at the 11th Hour the ‘lender’ didn’t have the funds.
Some of these ‘lenders’ aren’t lenders at all, and are just issuing Term Sheets, taking large upfront fees, and then running around trying to find investors to fund the loans.
5 WARNING SIGNS
WARNING TIP #1 – Only ever deal with a trusted, well-established private business lender and one who lends its own funds. (like HomeSec)
In 20 years of lending, HomeSec has NEVER issued a loan offer without having the funds in our bank account.
WARNING TIP #2 – It’s not all about the interest rate. Many of these ‘lenders’ who let their clients down offer dirt cheap rates. (which is also probably why they can’t get an investor to fund the deal) What use is a cheap rate if you can’t get the funds?
Privately funded 1st Mortgages, 2nd Mortgages and Caveat Loans are a lifeline for business owners on a daily basis. But it’s important that you only deal with a trusted, open and transparent lender.
Using these phoney lenders with be like calling Triple Zero in an emergency, and no one ever comes to your aid.
WARNING TIP #3 – SPEED: This is another factor to keep in mind. HomeSec fund fast 1st mortgages and fast 2nd mortgages, both of which can be funded in 24 hours from the time of the initial application. (it’s because we don’t use valuers and don’t do sworn valuations)
If getting the funds in a hurry will save you from disaster or enable you to make a huge profit, then the interest rate becomes irrelevant. It’s more about getting the funds ASAP.
Even if the rate is considered a little high, it’s only for a short term in any case. It’s a bit like catching a bus or catching a taxi.
WARNING TIP #4 – FLEXIBILITY: We all know things can change unexpectedly. What if you take a 6 month 2nd mortgage and you need more time to repay, beyond the 6 month term? What if you take the same business loan and want to pay it back after 1 month? CAN YOU?
Most lenders either won’t permit this, or will charge hefty fees to facilitate it. At HomeSec, you can repay your short term business loan early, or extend almost indefinitely and there are NO FEES and no penalties.
If you’re on one of our ‘cashflow friendly’ deals of 6 MONTHS OF NO PAYMENTS, we rebate the unused interest if you repay early.
WARNING TIP #5 – TRANSPARENT PRICING: Lastly, watch for hidden fees, or monthly fees. Most lenders don’t mind paying a premium, just as long as they know EXACTLY what they are paying. They don’t want surprises, nor should they get any.
For genuine, FAST, FLEXIBLE, RELIABLE and TRANSPARENT private 1st mortgages and 2nd mortgages for business, stick to the safe and reliable choice of thousands of Australian business owners over the past 20 years. That trusted lender is HomeSec Business Finance
Tel: 1300 93 83 87
