If you’re a professional landlord with more than ten investment properties, then you know how difficult it can be to get financing from traditional lenders. Traditional or formal lenders often have strict income requirements and cap the number of properties you can finance.
As an investor with less than ten properties, traditional borrowing will probably not work well for you either.
That’s where rent loans come in. These loans offer flexibility and easy qualifications, making it possible for landlords to get the money they need to progress their business. This article will discuss the benefits of rent loans and how they can help landlords, entrepreneurs, and property investors grow their businesses.
Most of today’s investors wish to expand their rental portfolio, but tax deductions can make it impossible for your income to qualify even if you’re successful.
Rent loans are a type of loan typically used to finance the purchase of new properties or to cover the costs of renovations if you’re flipping your portfolio. These loans are often for short-term use and can be paid back within a year or two or when it suits you and your business plan.
Flexibility is Vital
One of the main benefits of rent loans is that they offer flexible terms. Term flexing means that you can choose how long you want the loan for and make repayments when it suits you. Rent loans tend to have lower interest rates than other types of loans, making them more affordable in the long run.
It’s essential to weigh up the pros and cons before taking on any form of finance.
Another benefit of rent loans is that they are easy to qualify for, the criteria are flexible. Unlike traditional lenders, bridging loan companies don’t have strict income requirements or caps on the number of properties you can finance. Flexible criteria make it easier for landlords to get the money to grow their businesses.
If you’re a professional landlord looking for flexible financing, then a rent loan secured quickly may be the right option for you – let’s look at other reasons why you should choose a rent payment loan.
Great for Start-Ups
If you’re new to the property business, it can be challenging to get financing from traditional lenders- this is because they often require a track record of successful property investments.
Rent loans don’t have this requirement, making them an excellent option for start-ups and anyone leaping from small-time investing to a more extensive portfolio.
As we mentioned before, one of the main benefits of rent loans is that they offer flexible terms. We keep banging on about flexible terms because it means you can choose how long you want the loan for and make repayments when it suits you, making you master of your destiny.
Choose an Expert in your Field
So now you know why a rent loan is a good option, choose an expert in the field, someone familiar with the property market and has a wide range of products to suit your needs.
Choose a company that understands the requirements of a landlord or an entrepreneur who is building a profitable portfolio.
Make Sure Your Lender is Bonafide
Many financial companies will lend you money, but not all of them are bonafide or have your best interests at heart.
When looking for a lender, make sure they’re part of the American Association of Private Lenders. The AAPL is a nationwide trade organization that represents the private lending industry.
The AAPL members follow a strict code of ethics and professional conduct, so you can be sure you’re getting the best possible service. A suitable lender will also offer you support and advice throughout the process to make the best decision.
So, if you’re a professional landlord or someone looking for flexible financing, no red tape, then a rent loan may be the right option for you. Now that you know all about rent loans, it’s time to get in touch with an expert and see how they can help you grow your business and make money doing what you do best.