In the mortgage industry, Private Lending is the lending of money on a secured asset, land and/or house by a non-conventional lender. The loan provided to the borrower is based on non-traditional qualifications; for example, bank account statements can be used to show cash flow in lieu of the traditional method of providing tax documentation such as T1 Generals and Notice of Assessments (NOA).

Private lending often goes by other names such as, Sub Prime Lending, Sub Prime Mortgages, B Lending, B Mortgages, Hard Money, Shadow Lending, Alternative Lending, Home Equity Loans, and most commonly Private Mortgages.

Regardless of what you prefer to call Private Lending there are common characteristics will exist across the industry:
1. Rates range from of 3% to 5% higher than what prime lending banks offer.
2. Payments are interest only.
3. 1 year terms are the most common, with the ability to extend up to 3 years.
4. Additional fees such as lender and broker fees, will be applicable.

For more information please contact one of our licensed brokers at 604.644.5761 or

Vancouver Private Mortgages

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