Leesburg Pike, Vienna, VA 22182
The borrowers are requesting a hard money loan to refinance a Free and Clear investment property that was purchased in distress 3 years ago for $440,000. The property was completely updated and held as a rental property until recently. The property is currently on MLS for $700,000 and try to get sold. The proceeds of this loan are going to some other real estate investment properties that need to be closed before they can sell this property.
|Loan Amount:||$300,000 1st Mortgage|
|Value of Subject Property:||$ 600,000|
|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 with no construction needed in a very strong area of Virginia.
The cons are:
The Borrowers exit strategy of selling could take longer than expected in this market.