PROPERTY:

1st St, Glenarden, MD 20706

DESCRIPTION:

The Borrower is requesting a hard money loan to purchase and renovate a property. The purchase price is $103,000 and the property is getting immediately resold to a cash buyer for $150,000.  The Borrower will be bringing about $11K to closing.  HMB has done 6 other successful deals with this Borrower.

PROPOSED TERMS:

Loan Type: Purchase
Loan Amount: $103,000 1st Mortgage
Value of Subject Property: $225,000
Loan to Value: 45% ARV (65% as is)
Term requested: 12 Month Balloon
Exit Strategy: Resell property
Credit Score 693

HARD MONEY BANKERS COMMENTS:

The pros are:

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

The cons are:

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