Rolling Rd, Hagerstown, MD 21742
The borrowers are requesting a hard money loan to acquire an investment property. The property is being purchased under market value as a bank owned property for $141,000 and needs minimal rehab work (around $20,000 to update the house). The Borrowers are putting up about $60K+ of their own cash plus covering construction costs. Â The borrower is strong with a 665 credit score and experience flipping properties.
|Loan Amount:||$90,000 1st Mortgage|
|Value of Subject Property:||$ 180,000|
|Loan to Value:||50%|
|Term requested:||6 Month Balloon|
|Exit Strategy:||Resell property|
HARD MONEY BANKERS COMMENTS:
The pros are:
The lender will have good collateral on an investment property with minimal construction needed. The borrower has strong credit, good assets and experience. The Borrowers will be contributing about $60K+ into this deal.
The cons are:
The Borrowers exit strategy of selling could take longer than expected in this market.