Riverview Rd, Fort Washington, MD 20744
The Borrower is requesting a hard money loan to finish construction on a spec project that he has been funding out of his own pocket. The project still needs about 140K worth of work to complete. The property is pre-listed at $600K although it may only sell for somewhere in the low $400K’s. The borrower has experience building homes and developing real estate.
|Loan Amount:||$180,000 1st Mortgage|
|Value of Subject Property:||$400,000|
|Loan to Value:||45%|
|Term requested:||9 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 good area. The Borrower is strong with experience, ok credit and assets.
The cons are:
The Borrowers exit strategy of selling could take longer than expected in this market.