A short-term interest-only loan taken out by someone who doesn’t qualify for prime or bad credit lending. Private mortgages have an average amortization of 1-3 years, during which time the borrower only pays off the interest accumulated each month; at an annual rate of 10-18%, the payments aren’t cheap. At the end of the term, most homeowners transfer their private mortgage to a traditional lender.
« Back to Glossary Index
VIEW ALL
Eye lens regeneration from own stem cells
September 30, 2016Sense of smell may predict Alzheimer’s risk
September 30, 2016