PROPERTY:

Dawn Lane, Temple Hills, MD 20748

DESCRIPTION:

The Borrower is requesting a hard money loan to purchase and renovate a property. The purchase price is $80,000 and the property needs about $10k in rehab work. We will hold all construction funds in escrow and will reimburse for completed work. The Borrower will be bringing about $13K to closing.  HMB has done 2 other deal with this Borrower.

PROPOSED TERMS:

Loan Type: Purchase
Loan Amount: $90,000 1st Mortgage
Value of Subject Property: $140,000
Loan to Value: 64%
Term requested: 9 Month Balloon
Exit Strategy: Resell property
Credit Score 605

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.