31st Ave, Temple Hills, MD 20748
The Borrower is requesting a hard money loan to acquire an investment property with minimal rehab needed. The property is being purchased under market value for $95,000 and needs rehab work (around $15,000 for kitchen and bathroom upgrades, paint and landscaping). The Borrower is putting up about $15K+ of their own cash plus fronting the 1st construction draw. HMB has done 2 other successful deals for this Borrower including one down the street from this one that sold for $180K.
|Loan Amount:||$110,000 1st Mortgage|
|Value of Subject Property:||$170,000|
|Loan to Value:||65%|
|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 with about $15K construction needed. The Borrower has good assets, a 688 credit score and experience. The Borrower will be contributing about $15K+ into this deal.
The cons are:
The Borrower’s exit strategy of selling could take longer than expected in this market.