As we get into the dog days of summer, we have investors sitting on funds to lend on property in TCI. Now is a great time to buy that vacation property in the sun! The parameters for borrowing are the same as usual for our buyers in Turks, 50% down payment (40% on exception) with very little qualification outside of equity.
The rates for our private mortgages vary based on the investor, property etc, however, they typically fall between 8 and 9%. The payments are almost always interest only which helps to offset the higher rates.
The major benefit to this type of financing is the speed and ease of qualification. Banks can often take months just to approve you (if they do at all), this is why these loans are so popular in the Caribbean.
Generally our investors are looking for income producing properties to lend on, short or long term rentals. We do have investors however that will lend on land and even construction financing for the right deal. The same general guidelines apply in terms of ltv however rates may be higher for these other loan types due to the added risk.
The key to any private loan is the property itself, only highly marketable properties in the tourist areas are of interest to our investors. In case of default and forced sale, our investors want to be sure they can move the property quickly to recoup their investment.
Generally the loans we offer have to be over 100k in size, although we have done smaller mortgages on exception. We can do loans on North Caicos and Grand Turk, but primarily our investors like to stick to Providenciales. Again, tourist areas only will be considered.
Our borrowers are typically residents of the US, Canada and UK. Very little is required for qualification outside of the equity to close (usually 50% plus closing costs).
We are flush with funds, contact us to discuss financing a property in the Turks and Caicos today!