PROPERTY:

Trainor Avenue, Baltimore, MD 21215

LOAN OVERVIEW:

The borrowers are requesting a hard money loan to refinance their investment property. The property was purchased in 2007 for $280,000 and some upgrades were done before she put tenants in.  The property currently has 2 tenants paying a total of $2,500 per month

PROPOSED TERMS:

Loan Type: Purchase
Loan Amount: $65,000 1st Mortgage
Value of Subject Property: $150,000
Loan to Value: 43%
Term requested: 9 Month Balloon
Investor return: 12%
Exit Strategy: Resell property
Credit Score low


HARD MONEY BANKERS COMMENTS:

The pros are:

The lender will have good collateral on an investment property with tenants paying $2500 per month.

The cons are:

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