Many Torontonians, dismayed by the fact that the average single family home in the city costs more than one million dollars, have turned their eyes – and taken their wallets – west…to Hamilton. The Hammer, always the heart of the Golden Horseshoe, is now also home to a burgeoning arts scene and the epicentre of a housing boom.
Some Hamilton residents are taking advantage of the boom and renovating their older homes in order to sell. But new banking regulations and the tough economic times of the past few years have left some homeowners out in the cold when it comes to obtaining a mortgage from their financial institutions.
If you need cash flow to renovate your home in order to sell it, consider a private mortgage lender. Even if your credit rating is bruised, a private lender will allow you to use the equity you have in your house to access the funds you need.
an older house in order to obtain a higher selling price makes a great deal of
sense. Surveys show that even a single improvement -- such as the installation
of a granite countertop in the kitchen -- can add thousands of dollars to your
asking price. If you have an older home in Hamilton, renovating in order to
sell while the market is booming is a smart move.
some Hamilton homeowners have difficulty obtaining loans from their financial
institutions in order to take advantage of the boom. Many of us, struggling
after the economic collapse in 2008, now have less-than-perfect credit ratings.
And new, more stringent bank regulations mean that even overdue tax bills or
credit cards that are in arrears are grounds for loan refusal.
If you have
an older Hamilton home that you want to renovate before selling, talk to a
private mortgage broker. These professionals work with you to find a private
lender. Private lenders are less interested in credit history, and more
interested in the equity you have in the property you own. A private mortgage
has a higher interest rate, but it’s faster and easier to get than a bank loan.
This type of loan is perfect for a resale situation.