Piney Branch Rd, Silver Spring, MD 20910
The borrowers are requesting a hard money loan to acquire an investment property. The property is being purchased under market value from a distressed seller for $215,000 and needs a full rehab job. The Borrowers are putting up about $33K+ of their own cash plus fronting the 1st construction draw. The borrower is strong with a 684 credit score, experience flipping properties and money in the bank. HMB has already done successful transactions with this Borrower.
|Loan Amount:||$339,000 1st Mortgage|
|Value of Subject Property:||$ 550,000|
|Loan to Value:||64%|
|Term requested:||12 Month Balloon|
|Exit Strategy:||Resell property|
HARD MONEY BANKERS COMMENTS:
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 $31K+ into this deal.
The cons are:
The Borrowers exit strategy of selling could take longer than expected in this market.