Private Mortgages is not a secret club. Alternative financial instruments to traditional banks loans are a source of some controversy because not everyone is able to qualify for a bank loan due their poor credit score, income stream, or needing a much faster pace than what the banks can offer. Read more now on Private Mortgages

How many of us wanted to ask to borrow a cup of sugar from the neighbor and found ourselves in the middle of a chit-chat over their garden gnomes? Well, private mortgages are sort of like sugar borrowing: you are not working with some huge, faceless animal; you’re most likely chatting up an individual lender or small company; they are far more relatable, have fewer gnomes, and often make their lending decisions way quicker.

Now comes the spicy part: Flexibility. For many, conventional banks are a complete no-go because they carry mountain-high stacks of paperwork and red tape, just like a cat’s cradle. Private lenders may not be as cheap but they’re flexible, just like your yoga teacher standing on one foot. They are flexible and will negotiate with you about property types. Sometimes they even barter rent for a few garden gnomes.

But then comes the bitter pill amidst sweet opportunities-interest rates can be higher. Private lenders need to protect themselves. They have to protect themselves from the increased risks, the tighter deadlines and the erratic behavior of human borrowers. Your mortgage hero is going to charge you what feels like a small fortune based on that very risk.

It’s just like making soup: everything needs to be just so. Some people choose to fly alone, while others hire a captain. Each has its advantages. Community forums sometimes can be a treasure trove of wisdom, and sometimes a rabbit hole one can easily fall into with confusing terminologies. There are times when the laughter is rife because of how much there is to learn even about something so simple as a mortgage. Private mortgages are game changers, so it doesn’t matter if you dip your toes or dive in head first. Ask your uncle to give you the “guy’s” number and see if this option will bring you closer towards your dream home. Gnomes are optional.