Crittenden St, NE, Washington, DC 20017
The borrower is requesting a hard money loan to purchase a discounted property he picked up for $255,000. The property only needs $25K worth of work to update kitchen, baths, flooring, painting and landscaping. The borrower is a full time rehabber with experience, cash and good credit. The property is in a good area of NE, DC. The borrower will be bringing $70K+ to closing plus paying for all construction costs. HMB has done 2 successful deals with this borrower already.
|Loan Amount:||$200,000 1st Mortgage|
|Value of Subject Property:||$400,000|
|Loan to Value:||50%|
|Term requested:||9 Month Balloon|
|Exit Strategy:||Resell property|
HARD MONEY BANKERS COMMENTS:
The pros are:
The lender will have good collateral on an investment property in a good area. The borrower has good credit, experience and cash.
The cons are:
The Borrowers exit strategy of selling could take longer than expected in this market.