Our Private Mortgage Funds, Explained

Sometimes the fastest way to save a home or unlock trapped equity isn’t a bank at all — it’s private money, moved quickly and structured creatively. For urgent or complex files, we have access to private funds that lend on your home’s equity, not your credit score. Here’s how they work, and a real case study to prove it.

Quick answer: For situations a bank won’t touch — foreclosure, arrears, judgments on title, bruised credit, tight timelines — we can arrange short-term private mortgages funded by private capital and secured by your home’s equity rather than your credit. They carry higher rates and fees and are meant as a bridge, not forever — often structured creatively (sometimes even with no monthly payment) to stop the bleeding, buy time to fix the bigger picture, and then exit to a bank or alternative lender. See the real Alberta case study below.
Equity
Lends on equity, not credit
Fast
Days, not weeks
Bridge
Short-term by design
Exit plan
Built in from day one

What are private mortgage funds?

Private mortgages are funded by private capital — individual investors and mortgage investment corporations — rather than by a bank’s deposits. Because the decision is driven by your home’s equity and marketability rather than a rigid credit checklist, a private lender can approve and fund quickly, and in situations a bank simply can’t. The trade-off is cost: private mortgages carry higher rates and lender/broker fees, so they’re used as a short-term tool, with a clear plan to move you to cheaper money as soon as you qualify.

When private money is the right tool

  • Foreclosure rescue — stop a foreclosure and bring a mortgage current, fast.
  • Clearing judgments, liens or writs registered against your title.
  • Debt consolidation when high-interest debt has outrun your bank options.
  • Bridge financing — cover a gap between buying and selling, or a short-term cash need.
  • Equity take-out for the self-employed or credit-challenged, where the equity is clearly there.

A real Alberta case study

A Calgary family was days from a foreclosure court claim, with three judgments registered against their title — but they had roughly 50% equity in their home. We arranged a short-term private second mortgage of about $80,000, structured with roughly six months of interest prepaid so they owed nothing month-to-month. That stopped the foreclosure in about two weeks, cleared the arrears and all three judgments, and freed up every dollar of their budget to keep the first mortgage current. Over the next few months their credit scores climbed dramatically, and we refinanced everything into a single payment — lower than their old mortgage payment alone. Read the full case study →

The honest trade-offs

Private money is powerful, but it isn’t free. Rates and fees are higher than a bank’s, so a private mortgage is a bridge, not a destination — its whole job is to solve an urgent problem and set up a clean exit to lower-cost financing. We won’t put you in one without a realistic plan to get you out of it. Used well, it saves the home and the equity; used carelessly, it just adds cost. Our job is to make sure it’s the former.

How a Calgary mortgage broker helps with private funds

Private lending is all about structure and speed — and the exit:

  • We size and structure the bridge (including prepaid-interest options) so it actually solves the problem.
  • We move fast — pulling title, getting payout figures and clearing judgments — because timing is everything.
  • We build the exit to a bank or alternative lender into the plan from day one.
  • It’s a confidential conversation, with no credit hit to start and no obligation.

Confidential Consultation

Facing foreclosure or drowning in debt? Let’s run your numbers

  • 2-minute form
  • No credit check to start
  • Confidential
  • No obligation

Frequently asked questions

What is a private mortgage?
A private mortgage is a loan secured against your home and funded by private capital — individual investors or a mortgage investment corporation — rather than a bank. It’s decided mainly on your home’s equity, which lets it fund fast and in situations a bank can’t.
Are private mortgages expensive?
They carry higher rates and fees than a bank mortgage, so they’re used as a short-term bridge, not a long-term solution. The goal is always to solve the urgent problem and then exit to lower-cost financing as soon as you qualify.
Can a private mortgage stop a foreclosure?
Often, yes — and quickly. A short-term private mortgage can bring your existing mortgage current and clear judgments, stopping a foreclosure in as little as a couple of weeks when there’s enough equity, as in our real case study.
Do I need good credit for a private mortgage?
No. Private lending is driven by your home’s equity and marketability rather than your credit score, which is exactly why it works when banks and even alternative lenders have said no.
How long does a private mortgage last?
Usually a short term — often up to a year or so — because it’s a bridge. We build the exit plan up front so you can move to a bank or alternative lender as soon as your file supports it.

There may be a way to use your equity to fix this

Whether it’s arrears, foreclosure or high-interest debt, we’ll run your numbers and tell you honestly whether private funds — or a better option — can help. Apply online in about two minutes, or book a confidential discovery call.

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Free · No credit check to start · Confidential · No obligation

This article is general information, not financial, mortgage or legal advice. Private mortgages carry higher rates and fees and are intended as short-term solutions; products, rates, fees and terms vary, are subject to change and depend on lender approval. Please speak with a licensed mortgage professional about your specific circumstances. Mortgages for Less with INDI Mortgage.