Private Mortgage Lenders: Top 3 Mortgage Lenders In 2024

Deepanshu Bedi
Private Mortgage Lenders - theislandnow

Are you looking for the best private mortgage lenders? The trend of taking out a private mortgage lender to help you buy your dream home has been on the rise. 

According to recent data, the proportion of mortgage refinancing transactions conducted via private lenders increased by 67% from 12% in the second quarter of 2016 to 20% in 2018.


We have carefully created a portable list of the top 3 private mortgage lenders and are here to help you decide which is best. Each of these has its distinct advantages and disadvantages that you need to consider. 

With our list, you can find the best lender to suit your needs. Don’t wait. Take your time to research each lender and apply today to get the mortgage you deserve! 

Best 3 Private Mortgage Lenders In 2023

Best Overall Private Mortgage Lenders


Variety of loan options


Credit Score


Loan Amount

Recommended Private Lender Mortgage


Variety of loan options


Credit Score


Loan Amount

Popular Lender For Private Mortgage


Variety of loan options


Credit Score


Loan Amount

#1. HSH eMortgage– Best Overall Private Mortgage Lenders, #1 Pick

HSH eMortgage is a highly revered private mortgage lender that has served customers for over two decades. It is a direct lender and can help customers get competitive rates for home loans, refinancing, and home equity loans.

HSH eMortgage has an excellent reputation for offering quality mortgage products and services and delivering on its promises to customers.

HSH eMortgage prides itself on providing experienced and knowledgeable mortgage professionals helping customers with their home loan needs since 1996.

The team of experts has in-depth experience with different mortgage types and a thorough understanding of the fluctuating mortgage market. In addition, their loan advisors provide personalized services to meet each customer’s needs.

HSH eMortgage offers a wide variety of mortgage options for both residential and commercial customers.

They offer competitively priced conventional, government, and jumbo loans for residential customers. For commercial customers, they offer sophisticated and complex commercial loan programs tailored to meet each customer’s needs. 

Private mortgage lenders include several other features that make them attractive to customers. For example, their lending library is regularly updated with educational resources and tools to help customers better understand the real estate and mortgage industry.

They offer free loan calculators and home equity estimators to give customers the numbers they need to make an informed decision.

HSH eMortgage is an excellent lender with much to offer its customers. They are experienced and knowledgeable, with a reputation for providing quality customer service.

They have various mortgage options to meet individual needs, plus resources and tools to ensure customers have all the information they need. With competitive rates and personalized services, HSH eMortgage is a lender to consider for any home loan needs.


  • Recognized by Forbes as a ‘Best Mortgage Lender’ 
  • Offers competitive rates and fees 
  • Variety of customized loan solutions 


  • Lack of lender transparency

Why Should You Trust HSH eMortgage?

If you’re looking for a mortgage loan, HSH eMortgage can help you find the right solution. HSH eMortgage is dedicated to finding the right loan that fits your needs, offering a wide selection of conventional and governmental options.

They have competitive rates and low closing costs, ensuring you still get the best deal for your money.

Beyond finding the right loan, HSH eMortgage also offers services after you’ve secured your loan. Whether it is a refinance or modification, the team at HSH eMortgage is always here to help.

Everyone’s experience is unique, and it might be time to consider a different loan option. However, regardless of where you are in the process, the team can provide valuable guidance to help you make the best loan decision.

HSH eMortgage provides various loan options to meet the needs of its clients. From conventional loans with fixed and adjustable rates to government loans like FHA, VA, and USDA, HSH eMortgage offers various loan solutions. Also, they specialize in both short-term and long-term loan solutions, including jumbo loans.

You can trust HSH eMortgage to get you the right loan and be there for you even after you’ve closed it. With a wide variety of loan options and experienced professionals who ensure you’re getting the best deal, there’s no better choice when looking for the perfect mortgage loan.

Eligibility Criteria

  • Must be 18 years of age or older


  • Must be a US citizen or permanent resident


  • No credit score minimum requirement 


  • Flexible repayment options are available 
  • Competitive interest rates


  • No application or processing fees


  • No prepayment penalties
  • Funds disbursed within 1-2 business days after loan closing
  • Proof of income 


  • Proof of U.S. residency


  • Proof of identity


  • List of supporting financial information 

#2. Axos Bank– Recommended Private Lender Mortgage

Axos Bank is a top-rated, FDIC-insured private mortgage lender based in San Diego dedicated to providing banking solutions designed to meet the everyday financial needs of its clients. 

Founded in 2000, they have a long history of providing superb customer service and a full range of state-of-the-art products and services.

They are known for providing competitive mortgage rates and flexible access to customized loan programs and solutions for all types of customers.

With a wide selection of competitive loan products, Axos Bank helps to make homeownership more accessible and more affordable to their clients.

The company also further takes its clients’ experience by helping them find the perfect loan and home financing solution, with adequate assistance from their experienced loan advisors. Furthermore, they ensure that the loan process is smooth and easy.

Their online banking platform is known for being secure and user-friendly, making it easy for their customers to access their accounts anywhere, anytime. While it has helpful features and tools, the bank offers numerous other features, such as free mobile banking, bill pay, and ACH transfers.

There are also several choices regarding other services, and clients can get assistance from their local branch or the bank’s customer service center.

Axos Bank is an excellent choice for those looking for a private mortgage lender. From the competitive loan products and the secure online banking platform to their strong customer service, they are reliable and trusted by many homeowners.

In addition, the company is known for its commitment to helping its clients make the right decision when financing their dream homes.


  • Offers flexible and competitive mortgage financing solutions 
  • Reduces closing costs with negotiated discounts 
  • Remote and digital closings are available 


  • Limited product and loan types available 

Why Should You Trust Axos Bank?

Axos Bank is the perfect bank for individuals looking for an all-encompassing financial institution that provides various services. Trusting Axos Bank to offer loan services is a no-brainer. Borrowers can trust their secure, industry-leading loan services regarding personal lending.

 Axos Bank offers a range of personal lending options, from car loans to home mortgages. They also provide debt consolidation, which makes it easier to manage monthly payments and minimize interest.

But Axos Bank continues beyond providing loan services. Axos Bank also offers a full suite of services like checking and savings accounts, international and domestic remittances, investments, and insurance.

All of their products are secure, regulated, and insured, giving customers the peace of mind they need to trust Axos Bank with their finances.

There is no limit to the types of loans Axos Bank offers. Customers can receive vehicle loans, mortgages, debt consolidation, home improvement, and business loans.

 All loan services are backed by efficient processes, allowing customers to move quickly and securely through the process. In addition, Axos Bank offers competitive interest rates and terms, ensuring borrowers can find the perfect loan for their needs.

Trust in Axos Bank for all of your banking and loan needs! With their range of products, secure technology, and competitive rates, you can be sure your financial transactions are safe.

Eligibility Criteria

    • Quick and easy loan approval process

    • Competitive interest rates

    • Flexible loan terms to suit your financial needs

    • High loan amounts available

    • Experienced loan officers to guide you through the process

    • Convenient online application and management platform
    • No hidden fees

    • Competitive fees compared to other private mortgage lenders

    • A transparent fee structure is provided upfront
    • Fast and efficient funding process

    • Funding typically within 30 days of loan approval 

    • Expedited funding is available in certain circumstances
    • A minimum credit score of 620

    • Minimum down payment of 20%

    • Verification of income and employment

    • A property appraisal is required

    • No bankruptcies in the last two years

    • No foreclosures in the last three years

#3. Motley Fool–  Popular Lender For Private Mortgage

Motley Fool is a private mortgage lender offering funding services to both commercial and residential property owners. Their mission is to help all Australians achieve financial independence by providing access to quality financial services.

They tailor their services to the individual and work hard to provide greater access to funds while offering support and guidance.

At the heart of the Motley Fool is the belief that everyone has the right to access financial services, regardless of their background. They aim to provide a profound financial literacy, which empowers customers with valuable skills and an understanding of the financial landscape.

Motley Fool is backed by a proven team of dedicated financial professionals and industry experts with decades of lending and mortgage experience. Each team member provides an exceptional level of expertise, which helps customers make informed decisions.

Motley Fool understands the complexities of the Australian mortgage landscape and ensures they get the most attractive mortgage deals to fit their needs.

Motley Fool offers an impressive portfolio of mortgage products, including fixed and adjustable rate products. They also offer a specialized service and tailored advice designed to find the most favorable terms and payment options that meet your objectives and goals.


Motley Fool does not provide an all-in-one service but instead works with the customer to create a completely individualized finance solution.

The private lender’s fees and interest rates are transparent; fees are an upfront cost, and interest is paid over the life of the loan rather than upfront. As a result, it becomes easy for customers to understand their mortgage repayment process and adjust their financial goals if needed.

Motley Fool is committed to providing an exceptional customer service experience. With no hidden fees, no paperwork, and no hassle, Motley Fool’s team of experts use their credit assessment, loan origination, and lending experience to help customers make informed decisions.

 Motley Fool is an ideal source for those looking for a professional mortgage lender with a commitment to excellence and a reliable and trusted reputation. Their dedication to customer service ensures that clients have a great experience when choosing a mortgage and receive the right advice and product.


  • Offers homebuyer education classes 
  • Licensed and experienced mortgage advisors 
  • Uses Smart Loan technology to enable a personalized loan experience


  • Requires high credit score for lower mortgage rates

Why Should You Trust Motley Fool?

The Motley Fool is an established financial services company that can offer you the possibility to get a loan. With their loyal customers and years of experience behind them, you can trust Motley Fool for secure loans and excellent customer service.

Once you secure a loan from Motley Fool, there are many other services that you can enjoy. For example, you can use the loan for various needs, such as investments, to secure a car loan, or pay for an education.

After securing your loan, you can use Motley Fool’s sophisticated financial instruments and access world-class financial advice.

Motley Fool offers a variety of loan services to fit your needs. Personal and business loans can provide the right solution for your financial circumstances. You can also opt for Jumbo Loans and Home Equity Loans with the security of a fixed rate and loyalty from Motley Fool.

So, no matter what kind of loan you need, Motley Fool can provide you with the services and security you need to trust them.

Eligibility Criteria

      • Flexibility in financial terms

      • Personalized service from experienced mortgage professionals

      • Quick funding for your real estate needs
      • Competitive interest rates

      • No hidden fees or charges

      • Reasonable closing costs
      • Fast-track application processing

      • Quick access to funds once the loan is approved

      • No long waiting periods
      • A minimum credit score of 620

      • Adequate income to fulfill monthly payments

      • A substantial property as collateral

      • Proof of property insurance

What Is A Private Mortgage Lender?

A private mortgage lender is a financial institution that provides secured loans for individuals or businesses for a specific purpose. These lenders, unlike traditional banks, are typically non-institutional entities that a government-sponsored agency does not back.

 Private mortgage lenders are a niche financing option, often more expensive than traditional banking solutions and typically more suited to specialized projects. In addition, private lenders offer flexible repayment terms, constantly tailored to each borrower’s specific situation.

They are a viable alternative for individuals and businesses with several advantages, such as fast approval times, no pre-qualification, and no red tape.

Private mortgage lenders specialize in various loan products ranging from residential mortgages to construction loans, bridge loans, and second mortgages.

They often charge high fees and interest rates due to the higher risk of financing a loan not backed by a government-sponsored entity. However, they offer borrowers a unique opportunity to finance their real estate purchases due to their expertise and tailored preferences.

 Private mortgage lenders can also be advantageous in speed, flexibility, and ease of qualification for needed funds. Thanks to their streamlined processes, private lenders can offer lenders an edge in completing their transactions faster than traditional banking solutions.

Who Should Consider Private Mortgage Lenders?

Private mortgage lenders can be an excellent option for those who don’t meet typical requirements from mainstream lenders.

People who lack a high credit score or consistent income stream can benefit from having greater access to mortgage solutions.

 Private lenders can provide more flexible solutions for those with unique financial situations, offering tailored solutions and creative financing that traditional lenders may be unable to deliver. 

Property investors looking to purchase and profit from a property may find it beneficial to look into private mortgage lenders, who could help them quickly access the funds they need.

Private lenders often have more efficient processes, meaning their services can be acquired more quickly, helping property investors take advantage of lucrative opportunities with confidence.

For those looking for the best possible deal in terms of getting the most information, terms, and financing out of a loan, private mortgage lenders can be a great source.

As the market for private mortgage lenders is competitive, borrowers can often negotiate for more competitive terms, including lower interest rates and a better overall structure than some mainstream lenders provide.

 Private mortgage lenders are also more likely to extend the financing for non-traditional asset types such as residential or commercial tenant buildings or renovation projects. 

How to Find Private Mortgage Lenders?

Finding a private mortgage lender is easier than it may seem. Whether you’re looking for a family member, friend, or organization, there are several ways to find the best private mortgage lender.

Friends or family members: One of the best ways to find a private mortgage lender is through your network. Friends or family members may be willing to lend you the money you need, especially if they trust you and believe in your ability to repay the loan.

Another option for finding a private mortgage lender is visiting companies that offer private mortgages.

However, not all companies are the same. Therefore, it pays to shop around. Research each company to find out their rates and terms and whether they have any special programs that could make the loan more affordable.

It’s also a good idea to check the company’s ratings with the Better Business Bureau to ensure they are reputable.

While finding a private mortgage lender can be intimidating, there are several ways to do so. Whether you turn to a family member or friend or opt for a lending company, a promissory note and deed of trust are necessary. Doing your research will ensure that you find the best private mortgage lender to fit your needs.

Private Mortgage Lenders Vs. Traditional Mortgage Lenders

Private mortgage lenders offer many benefits to those who cannot obtain a traditional loan from a bank.

 For starters, they can often provide more flexibility with loan repayment options, lower rates, and faster processing times. They also typically have less stringent qualifications, so an individual can often qualify for a loan even if they have less-than-perfect credit. 

Also, private lenders can often provide a more tailored approach to their loan process, allowing the borrower to negotiate better terms and rates.

Lastly, private lenders have access to a larger pool of funds, which allows them to be more creative with their loan structures.

Private lenders can offer more competitive loan terms and conditions than traditional mortgage lenders. 

They are more willing to take risks, meaning that you may be able to get approved for a loan even if you don’t meet the traditional lending criteria. 

On top of this, private lenders can often be more flexible with repayment options, enabling you to choose a payment plan that’s more suitable for your needs.

They also don’t require extensive paperwork. As a result, it’s generally more manageable than the lengthy process available from banks.

By working with a private mortgage lender instead of a traditional one, borrowers can benefit from more competitive terms, a speedier process, and often a more tailored and personal approach to the process.

However, it’s important to remember that private lenders are more likely to experience more risk during the loan process. So, you should consider all possible options before choosing a private lender.

Alternatives to A Private Mortgage

Government-sponsored loans can be a great alternative to a private mortgage, offering lower rates and more flexible repayment terms.

FHA loans, VA loans, USDA loans, and other government insurance programs are all options to improve their standing in the housing market.

These loans typically require lower credit scores, may have no down payment requirement, and often offer loans without PMI. 

Renovation loans help make those necessary repairs or updates to a home while still taking on a reasonable loan amount.

HomeStyle Renovation Loans, grant programs, and home improvement loans provide varying levels of assistance to homeowners looking to improve their properties without taking out a hefty loan. 

Refinance or home equity options are available to those looking to strengthen their financial holdings by utilizing the accumulated equity in their property.

Refinancing loans allow borrowers to take out a mortgage for an amount greater than their primary loan balance and use the solidified equity for more than just paying off the mortgage.

Home equity loans and credit lines are other expressions of such options that can provide additional flexibility.

FAQs Regarding Private Mortgage Lenders

A private loan mortgage is granted by a non-bank institution, such as individual investors, friends/relatives, or private companies.

The four types of private lenders are

  • Individual investors
  • Friends/relatives
  • Peer-to-peer lenders
  • Private loan companies

Yes, having a private lender can be an excellent idea for borrowers facing difficulty getting approved for a loan from a traditional bank.

Yes, you can borrow money from a private lender, but you should understand the terms and fees upfront. 

You will need :

  • Proof of income
  • Good credit
  • Collateral asset

Conclusion: Is It Better To Go With A Private Mortgage Lender?

And that’s a wrap! We’ve discussed private mortgage lenders and highlighted why they might be your perfect option.

After researching and comparing different lenders, we’ve come up with our top three picks: HSH eMortgage, Axos Bank, and Motley Fool.

Private mortgage lenders are great alternatives to traditional banks because they offer quicker processing times, flexibility, and better interest rates.

You can access dedicated customer service and a straightforward loan process with HSH eMortgage. Axos Bank provides a convenient online option to apply for and manage your loan seamlessly. Lastly, Motley Fool offers unique opportunities for investors to get involved in financing real estate investments.

HSH eMortgage, Axos Bank, and Motley Fool are just a few examples of lenders committed to helping you find the right loan for your unique situation. So go ahead and explore your options and find the perfect fit for you.

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