PROPERTY:

Danbury St SW, Washington, DC 20032

DESCRIPTION:

The borrower is requesting a hard money loan to acquire a property that they plan to renovate.  The purchase price is $135,000 and the Borrower will take care of construction with their own cash.  The borrower will be bringing about $70K to closing.

PROPOSED TERMS:

Loan Type: Purchase
Loan Amount: $75,000 1st Mortgage
Value of Subject Property: $150,000
Loan to Value: 50%
Term requested: 9 Month Balloon
Exit Strategy: Resell property
Credit Score 775

HARD MONEY BANKERS COMMENTS:

The pros are:

The lender will have good collateral on an investment property in a good area.  The Borrower is strong with experience and assets.

The cons are:

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