PROPERTY:

Roxanne Pl, Temple Hills, MD 20748

Lyons St, Temple Hills, MD 20748

Cedar Dr, Suitland, MD 20746


LOAN OVERVIEW:

The borrowers are requesting a hard money loan to refinance 3 investment properties The properties were originally purchased years ago and are free and clear.   The properties are outdated and need to be renovated.  HMB is holding 50K back to be reimbursed on finished work.  Cash to the borrower is going towards paying off back taxes, and an existing mortgage on another property.  The borrower will be selling the properties as soon as construction is done.

PROPOSED TERMS:

Loan Type: Purchase
Loan Amount: $200,000 1st Mortgage
Value of Subject Property: $450,000
Loan to Value: 45%
Term requested: 9 Month Balloon
Exit Strategy: Resell properties
Credit Score 524


HARD MONEY BANKERS COMMENTS:

The pros are:

The lender will have good collateral on 3 investment properties at a low LTV.

The cons are:

The Borrowers exit strategy of selling could take longer than expected in this market.