PROPERTY:
Cheshire Ln, Lanham, MD 20706
DESCRIPTION:
The Borrower is requesting a hard money loan to purchase and renovate a property. The purchase price is $154,000 and the property needs about $15k in minor rehab work. We will hold all construction funds in escrow and will reimburse for completed work. The Borrower will be bringing about $34K to closing. He has good credit, cash and experience.
PROPOSED TERMS:
| Loan Type: | Purchase |
| Loan Amount: | $150,000 1st Mortgage |
| Value of Subject Property: | $250,000 |
| Loan to Value: | 60% |
| Term requested: | 9 Month Balloon |
| Exit Strategy: | Resell property |
| Credit Score | 816 |
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 experience, credit and assets.
The cons are:
The Borrowers exit strategy of selling could take longer than expected in this market.