Here is how Brampton Mortgage Broker – Rumy Gill, helped Paul, resident of Brampton contacted me for an Equity Take Out Second Mortgage.
Paul had been looking to purchase an investment property for over a year, but was unable to land the perfect property. He was either outbid by others who wanted to the same property or he was unable to secure financing when he did find the property he liked.
Paul had a specific criteria he was looking for, he wanted to find a home we he could some DIY (do it yourself) renovations.
The challenge Paul had;
*Self Employed (Contractor)
*Showed /declared very little income on his taxes
*Overloaded with Debt
*$30k for Down Payment, has only 10% Down Payment
While sitting down with Paul to discuss what he was looking for in a property, it was then I knew what he was looking for. He needed an Equity Take Out Second Mortgage.
Paul had a home he owned in Brampton worth $850k where he lived in the basement and rented the main and upper level. The rent covered his existing mortgage payments on his Mortgage of just $200k.
Due to the challenges he was facing he could not borrow anymore from the Bank. He was trying to get Approved for a Mortgage with 10% Down Payment with really Bad Credit and Tons of Debt, he was not going to get Approved. But Paul could get na Equity Take Out Second Mortgage for $300k so he could buy the properties he liked for cash and not worry about losing out to financing or other bidders.
Once Paul understood the power of a Cash offer and how he leverage his buying power by going all in he changed search. He started looking a lot more properties where the sellers were motivated to sell and he could drive the price down with a firm closing and no financing conditions.
Paul was able to pick up a duplex property in Hamilton for under $275k ($100k under market value), and he put in about $55k worth of renovations and repairs (Paul is a contractor so he is able to do the work himself) to bring the property up to code and in rentable condition bringing the value of the property to $400k.
In a short few months from when Paul purchased the property, we were able to pay off the Equity Take Out Second Mortgage of $300k by getting get a Mortgage on the newly acquired and renovated property at a favourable rate. Paul was able to find two tenants for the Duplex who are covering the Mortgage payments.
Contact Brampton Mortgage Broker – Rumy Gill, Today to get the Best Equity Take Out Second Mortgage Options for your Mortgage Situation.
Rumy Gill – Mortgage Broker
Office : 2260 Bovaird Dr. E. Unit 202A
Brampton, ON L6R 3J5
Mortgage Intelligence Inc. – Lic# 10428
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