PROPERTY:

Sandstone Way, Manassas Park, VA 20111

DESCRIPTION:

The borrower is requesting a hard money loan to purchase and renovate a property.  The purchase price is $170,000 and the property on needs about $7,500k in rehab work. We will hold all construction funds in escrow and will reimburse for completed work.  The borrower will be bringing about $56K to closing.

PROPOSED TERMS:

Loan Type: Purchase
Loan Amount: $135,000 1st Mortgage
Value of Subject Property: $210,000
Loan to Value: 65%
Term requested: 9 Month Balloon
Exit Strategy: Resell property
Credit Score 705

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 credit and assets.

The cons are:

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