Fleet St, Baltimore, MD 21231


The borrower is requesting a hard money loan to acquire an investment property. The property is being purchased under market value for $105,000. The borrower has a a lot of experience flipping properties and does many transactions on a monthly basis. The Borrower is putting up about $47K of their own cash plus fronting the construction costs. The property needs $100K in work. The borrower is strong with a 677 credit score, experience flipping properties and money in the bank. HMB has already done many successful transactions with this Borrower.


Loan Type: Purchase
Loan Amount: $175,000 1st Mortgage
Value of Subject Property: $275,000
Loan to Value: 65%
Term requested: 12 Month Balloon
Investor return: 12%
Exit Strategy: Resell property
Credit Score 677


The pros are:

The lender will have good collateral on an investment property. The borrowers have strong credit, good assets and experience. The Borrowers will be contributing about $47K+ into this deal plus 1st phase of construction money.

The cons are:

The Borrowers exit strategy of selling could take longer than expected in this market.