1st St, Glenarden, MD 20706
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.
|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|
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.