Linwood Ave, Bel Air, MD 21014
The borrower is requesting a hard money loan to purchase and renovate a property.Â The purchase price is $125,000 and the property only needs about $35k inÂ upgrades.Â The borrower purchased several properties from the same seller (bank) and got a very good deal on it. Â We will hold all construction funds in escrow and will reimburse for completed work.Â The borrower will be bringing about $17K to closing.
|Loan Amount:||$164,000 1st Mortgage|
|Value of Subject Property:||$275,000|
|Loan to Value:||60%|
|Term requested:||12 Month Balloon|
|Exit Strategy:||Refinance property|
HARD MONEY BANKERS COMMENTS:
The pros are:
The lender will have good collateral on an investment property at a low LTV.Â The Borrower is strong with experience and assets.
The cons are:
The Borrowers exit strategy of refinancing could take longer than expected and will most likely need 6 months of seasoning.