Mortgage brokers can get past the challenges posed by traditional wholesale lending programs through a new service that promises to find private investor money. More than $100 million is currently available.
Most people in the mortgage industry won’t argue that loan options have diminished for brokers, who are now limited to agency and government programs.
But a company based in the British Virgin Islands claims that it has a stable of investors with more than $120 million to lend.
That firm, Fundthatdeal.com, said in a news release that it has successfully completed a pilot program and is now launching for the public at large.
“On one side are private investors who are disillusioned with the low rates of return their money is achieving and the current volatility of the stock markets,” the company explained in the statement. “On the other side are people who make it their business to identify the best residential and commercial real estate deals in the market but struggle to borrow money from banks and mortgage companies.”
Fundthatdeal.com spokesman Austin Awadzi said in a separate statement that the service is ideal for mortgage brokers seeking out first and second mortgages.
After basic information about the transaction is provided, mortgage brokers pay a fixed up-front fee. After the deal closed, Fundthatdeal.com earns a 1 percent “success fee” based on the loan amount.
“Fundthatdeal.com gives mortgage brokers an additional channel for providing solutions to their clients,” Awadzi stated.
Investor registration is free.
A quick online search for complaints about the Web site revealed nothing.
